Best Buying Zones Expected on the Stoxx 50 Index

The European Stoxx 50 index is moving in an overall upward trend, and is currently trading sideways on the 4-hour timeframe.

Currently, the index is attempting to decline again after breaking through the resistance levels that represent the upper limit of the sideways movement. This could lead to a drop to the buying demand zones below, near the 5887.78 level, as shown on the chart.

Expected Targets

If the index falls to the demand zones identified on the chart, located at 5887.78, we expect to see a reversal to the upward trend, targeting the 5950 and 6030 levels, respectively.

It is recommended to enter a trade after any reversal signals appear from the demand zones to reduce stop-loss orders and increase the probability of a successful trade.