The Tide May Be Shifting for Euro Stoxx 50 as it Crosses Above Its 100 Day Moving Average

News Releases Impacting Euro Stoxx 50

  • Forecasted S&P Global Services PMI Final in Euro Area: 50.6.. The actual number: 51.2.. (1.17% difference between the two.)

The Hourly View for Euro Stoxx 50

  • At the time of this writing, SX5E’s price is down -1.01 (-0.03%) from the hour prior.
  • This is a reversal of the price action on the previous hour, in which price moved up.
  • If you’re a trend trader, consider that the strongest clear trend on the hourly chart exists on the 100 hour timeframe.
  • Of note is that the 20 hour changed directions on SX5E; it is now pointing down. The moving averages on the hourly timeframe suggest a choppiness in price, as the 20, 50, 100 and 200 are all in a mixed alignment — meaning the trend across timeframes is inconsistent, indicating a potential opportunity for rangebound traders.

Euro Stoxx 50’s hourly price chart is shown below.


The Daily View for Euro Stoxx 50

  • At the moment, SX5E’s price is down -21.99 (-0.59%) from the day prior.
  • This is the 2nd day in a row Euro Stoxx 50 has seen its price head down.
  • As for the trend on the daily timeframe, we see the clearest trend on the 50 day timeframe.
  • Regarding moving averages, it should first be noted that price has crossed the 100 day moving average, resulting in them so that price is now turning below it. The moving averages on the daily timeframe suggest a bearishness in price, as the 20, 50, 100 and 200 are all in a bearish alignment — meaning the shorter duration moving averages are below the longer duration averages, implying a stable downward trend.
  • Divergence between SX5E’s price and its RSI may be manifesting. As such, be on the lookout for trend reversal in SX5E’s price.

Below is a daily price chart of Euro Stoxx 50.