The markets were mainly focused on the phase-1 agreement between the US and China, while the indices remained volatile. However, with no improvement in trade negotiations throughout the week, markets ended the day slightly weak. As a result of the protests in Hong Kong, Asian stock markets are still in a sell-out view. On the other hand, the data released by the Chinese side this morning failed to meet the expectations, which may weaken the risk appetite in the markets. If we take a look at the Chinese data, industrial production in October showed a significant loss of acceleration compared to the previous month's figure with 4.7 percent, while retail sales data contracted by 7.2 percent on a monthly basis. While the positive indices of European indices compared to global stock markets throughout the week were remarkable, the end-of-day closing was realized with some sellers. The DAX index closed the day at 0.42 percent, above the 13.230 level.
Germany's inflation data, which was announced this week, increased by 0.1 percent month-on-month and 1.1 percent year-on-year. Although the German ZEW index is in the negative region, it has seen a relatively moderate improvement compared to the previous month's data.
Today, the growth data to be announced in Germany and Euro Zone will be important in terms of index pricing. In particular, the growth rate of Germany will be decisive in terms of the belief that the German economy has entered a recession. The German economy, which contracted by 0.1 percent in the second quarter, is expected to shrink by 0.1 percent for the third quarter.
Following all these developments, we observe the slight withdrawals in the DAX index within the framework of 13.150 support. However, it can be said that the level that will be decisive for the permanent downward movement is 13.000 support threshold. In particular, we consider the slight relaxation movement occurring in the index, which has been turned upwards for a long time, quite usual. On the other hand, we follow 13.350 resistance in order to trigger a new buying potential.