Eurostoxx 50 Index Rises Above 5000
As indicated by the chart of the Eurostoxx 50 index (Europe 50 on FXOpen), its value climbed above the psychological level of 5000 points in early 2025.
The strength of demand may be driven by portfolio rebalancing or long-term investor expectations, as todays news for the European stock market was negative. According to ForexFactory:
industrial orders in Germany dropped by 5.1% month-on-month (expected: -0.3%);
retail sales in Germany fell by 0.6% month-on-month (expected: +0.5%);
France reported a worsening government budget balance.
A technical analysis of the Eurostoxx 50 index (Europe 50 on FXOpen) chart shows that:
the current value is above a resistance line (shown in red), which dates back to spring 2024;
since then, bulls have made two attempts to break above this line (marked with arrows) but failed to sustain the gains.
It is possible that further negative economic news from Europe could trigger bearish activityif so, we may witness a third unsuccessful attempt to hold above the red resistance line, potentially resulting in the formation of a false breakout pattern.
Read more: https://fxopen.com/blog/en/oa-eurostoxx-50-index-rises-above-5000/
Text source: Forex Trading Blog
