Markets

Outlook for October 27th: DAX collapses. SAP, Lufthansa and Microsoft at a glance!

At the start of the new week, the stock barometers fell sharply. The fear of further restrictions in the Corona crisis, the profit warning from SAP and the decline in the ifo index gave the bears a tailwind today. Additional downward momentum arose after the US markets started and after a moderate start to trading also began to decline. The DAX® closed around 3.6 percent or 460 points in the red at 12,180 points. After a daily loss of 2.7 percent, the EuroStoxx®50 hit the September low of 3,110 points.

The turbulence in the stock markets weighed on bond yields today. The yield on 10-year Bunds fell to -0.575 percent and the yield on comparable US securities fell by four points to 0.80 percent. The precious metals also fell. It is true that the price of gold still defended the US $ 1,900 mark. Silver, on the other hand, fell below $ 24.50 and platinum closed around 3.5 percent lighter at $ 870. The oil price painted a similar picture. The price of a barrel of Brent crude oil plunged below $ 41.

Company in focus

AstraZeneca will continue the corona vaccine study again. The investors acknowledged the announcement with gains. Bayer takes over gene therapy specialist Asklepios Biopharmaceutical for four billion US dollars. The plans were well received by investors. Against the trend, the paper improved by almost one percent and thus continued to bottom out at around EUR 42. The German Lufthansa has reduced the winter flight schedule and is planning further cost-cutting measures. The share then fell over four percent. Hella wants to reduce dependency on the automotive sector and is therefore looking for takeover targets outside the area. Nevertheless, the MDAX® share continued the downward trend today. The share of SAP after a corona-related revision of the goals today, fell over 20 percent. The software company is sticking to the plans for the IPO of Qualtrics.

From Europe report next week among other things BP, Covestro, Novartis and Rational Business figures for the past quarter. In the US stand among other things AMD, Caterpillar, Eli Lilly, Microsoft and Pfizer with their business figures in focus.

Important appointments

  • France – labor market data
  • United States – Durable Goods Orders
  • USA – Consumer Confidence

Chart technical outlook

Resistance marks: 12,420 / 12,670 points

Support marks: 11,985 / 12,220 points

The DAX® started with a downward gap today and then fell further to 12,200 points after stabilizing at noon. The index initially caught up in the area of ​​the August low. A recovery to 12,350 points could trigger a short-term countermovement. However, many bulls will wait for a breakout above 12,420 points before entering. Until then, there is a risk that the downtrend will continue to 11,985 points.

DAX® in points; 4-hour chart (1 candle = 4 hours)

Observation period: July 22nd, 2020 – October 26th, 2020. Historical considerations are not reliable indicators for future developments. Source: tradingdesk.onemarkets.de

DAX® in points; Weekly chart (1 candle = 1 week)

Observation period: October 24, 2013 – October 23, 2020. Historical considerations are not reliable indicators for future developments. Source: tradingdesk.onemarkets.de

Inline warrants on the DAX®

UnderlyingWKNSales price in eurosLower knock-out barrier in Pt.Upper knock-out barrier in pt.Final Valuation day
DAX®HR1JQ44.7211,20014,00001/21/2021
DAX®HR03N72.7012,00015,100December 17, 2020

Source: HypoVereinsbank onemarkets; Status: 10/26/2020; 5:29 pm

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