DE40: European stocks trade mixed at the start of the week

• Discover Airlines, Lufthansa subsidiary carrier facing strikes
• Borussia Dortmund shares gain after victory against Eintracht Frankfurt at the start of the Bundensliga season

Overall market situation:

Monday's session on European stock markets is proceeding in a mixed mood. Germany's DAX is currently losing 0.20% on an intraday basis. At the same time, France's CAC40 is adding 0.15%. On the corporate side, there is a lack of key information at the moment, so the key for the market at the moment is the creation of sentiment in the broad market. Futures point to a higher opening of the session on Wall Street. The Russell 2000 is doing particularly well, with contracts currently gaining nearly 0.9%. The UK session is on hold today due to the ongoing national holiday. 

Germany's IFO sentiment index reading came in better than consensus. This can also be seen in better expectations in business than forecast. Meanwhile, the current economic conditions were well assessed. 

Volatility currently observed in the broad European market. Source: xStation 

The German benchmark DE40 traded nearly 0.2% lower during Monday's session, but nevertheless maintained a dynamic upward trend throughout. The index broke above the key resistance level set by the 50-day EMA (blue curve on the chart) and the local peaks of the consolidation zone of the last few sessions. A vigorous breakthrough of these zones could theoretically open the way for further increases towards the historical peaks at 19,000 points. On the other hand, however, it is worth bearing in mind that the scale of the recent rebound is sizable, which may lead investors to book some of the gains. In this aspect, a relatively important support zone may be the previously mentioned 50-day EMA and 100-day EMA (purple curve on the chart). Source: xStation

News:

Discover Airlines, a subsidiary of Lufthansa (LHA.DE), has announced that a strike by the company's employees, including pilots, flight attendants and ground staff, will take place starting tomorrow until August 30. In late April, Germany's flagship airline, Lufthansa, released its financial figures for the first quarter of the year, which showed increased losses, largely attributed to the strikes.

Borussia Dortmund (BVB.DE) shares rose earlier in the week following its victory against Eintracht Frankfurt at the start of the Bundesliga season. 

Other news coming out of individual companies in the DAX index. Source: Bloomberg Financial LP