Stock indices climbed shortly after the opening bell in Europe on Tuesday, following a positive trading session in Asia, as market consolidation continues.
European benchmarks have been hovering around their annual low this week, weighed down by lingering uncertainties and a deteriorating economic outlook.
High volatility levels combined with the lack of a solid reaction from bull traders over the current key price zones suggest there is still a lot of nervousness in the markets, and that the sell-off could go even deeper in the short- to mid-term.
That said, the Stoxx-50 index still trades inside its short-term bearish channel, currently close to the upper band, while the RSI indicator may indicate a potential lateral consolidation to come.
The overall sentiment remains clearly bearish for riskier assets and investors are likely to stay focused towards macro developments with today’s speeches from Fed chair Jerome Powell and Chicago Fed president Charles Evans, alongside US new homes sales, Conference Board consumer confidence and durable goods data in order to see if there could be any valid reason to “buy the dip”.
Experienced writer and journalist, working in the global online trading sector, Steffy is the Editor of LeapRate. She has previous experience as a copywriter and has been with the company since January 2020. Steffy has a British and American Studies degree from St. Kliment Ochridski University in Sofia.
