- Contracts on Germany's DAX index (DE40) are trading at new historic highs
- Siemens Energy, Duerr and Drägerwerk shares dominate gains
- SUESS MicroTec shares gain 23% after excellent preliminary financial results
Sentiment on the German stock market is very upbeat today, and although we saw some cooling of sentiment on Wall Street yesterday, this is not stopping the DAX's bullish uptrend.
DE40 chart (M30 interval)
Looking at the lower interval, today's gains appear to be twinned to the last rally, suggesting that the price may be moving within a geometric 1:1 pattern. Today's session is completely dominated by buying volume.
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D40 chart (D1 interval)
On the daily interval, DE40 approached the upper limit of the upward channel that we have been observing since the beginning of August.
Source: xStation5
The vast majority of DAX companies are posting modest gains today, but the small number of weakening stocks translates into strength for the index as a whole. Source: Bloomberg Finance L.P.
Source: Bloomberg Finance L.P.
The largest stocks on the European trading floor are weaker today; ADRs on U.S. stocks are also down. Car manufacturer Stellantis gains more than 4%; better sentiment is seen in the mining and materials sectors. Source: xStation5
SUSS MicroTec shares on an upward swing
Shares of the German semiconductor equipment maker rose as much as 36%, the most ever. The company reported preliminary results that beat expectations in terms of sales and EBIT. The company's orders rose significantly, taking sales to unprecedented levels of €445 million, with a preliminary EBIT margin of 17.5%. Berenberg analysts indicated that sales acceleration is likely to occur closer to the second half of the year. Growth in the Advanced Backend Solutions segment was mainly due to high demand for interim solutions , while the Ebit margin forecast should be improved by a favorable sales mix.
SMHN.DE (D1 interval)
Looking at the chart today we see an attempt to break out above the EMA200 (red line), which could reverse the trend. The average is currently running around €51.5. A breakout above this level could open the way for the company's shares to peak at €66 per share. The company currently holds a minimal amount of debt and is valued at 16 Forward PE.
Source: xStation5
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