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Stocks in Europe trade slightly higher
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DE30 tested 50% retracement of this week's drop
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Airbus in talks with WizzAir over large jet order
European stock markets are trading a touch higher on the final trading day of the week. Downward move on major indices has been halted overnight following news on Biden-Xi phone call. However, moods in Europe are not as upbeat as they were in Asia and major indices from the region are trading just around 0.2% higher. Indices from Italy, Spain and Portugal drop.
Source: xStation5
DE30 continues the recovery move launched yesterday. The German index managed to climb above local highs from yesterday's afternoon and tested resistance marked with the 50% retracement of this week's drop (15,705 area). However, bulls were unable to break above a the index erased part of the gains. Near-term support can be found in the 15,645 pts area, where 50-hour moving average (green line) and 38.2% retracement are located. Lower limit of the local market geometry near 23.6% retracement is the next support to watch (15,570 pts area). In case buyers regain control and manage to deliver a break above the 50% retracement, the next target could be 15,765 pts swing area.
Company News
According to a Reuters report, Wizz Air is reportedly in talks with Airbus (AIR.DE) over a large jet order. Sources cited by Reuters say that potential order would include at least 100 aircraft but the agreement was not reached yet.
Analysts' actions
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Fresenius Medical Care (FME.DE) downgraded to "underweight" at JPMorgan. Price target set at €60.80
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Norma Group (NOEJ.DE) upgraded to "buy" at HSBC. Price target set at €49.00
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Merck (MRK.DE) rated "buy" at JPMorgan. Price target raised to €230
Airbus (AIR.DE) is trading higher today, thanks to general improvement in risk mood as well as news of a potential major order from Wizz Air. Stock continues to recover from a failed attempt of breaking below the upward trendline. Near-term resistance to watch can be found in the €117.50 area. Source: xStation5
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