STOXX50: A great short term buyHello,
I see a short-term buying opportunity with a target of 6,000 for the Euro stocks 50. The EURO STOXX 50 is a stock index of Eurozone stocks designed by STOXX, an index provider owned by the Deutsche Börse Group. The index is composed of 50 stocks from 11 countries in the Eurozone.
EURO STOXX 50 represents Eurozone blue-chip companies considered as leaders in their respective sectors. It is made up of fifty of the largest and most liquid stocks. The index futures and options on the EURO STOXX 50, traded on Eurex, are among the most liquid products in Europe and the world.
With Europe gearing up for a rise as more money begins to flow into the European economies. The NATO has already had their meeting last week. After this development both the STOXX 50 and the STOXX 600 gained 0.3%, attempting to reverse losses from the previous sessions. NATO’s decision to raise defense spending targets from 2% to 5% of GDP by 2035 fueled a rally in European defense stocks, including Rheinmetall (1.4%) and BAE Systems (1.4%).
From a technical view the Euro stocks 50 is currently forming a correction and nearing a bullish crossover on the MACD indicator. We believe that the current price gives a great opportunity for short to medium buyers to take advantage.
Disclosure: I am part of Trade Nation's Influencer program and receive a monthly fee for using their TradingView charts in my analysis.
