Stock of the day: Deutsche Bank

In today’s analysis, we will talk about the Deutsche Bank, which is now enjoying some peacetime but a few years ago was one of the main topics of the financial media. Many were wondering if Deutsche Bank will fall as it was full of leveraged assets and at some point, the situation in the European banking sector become wobbly. Well, now we can say that nothing happened and since the beginning of October, DBK is enjoying a nice upswing.

Deutsche Bank has a very promising technical situation. The price, on its way up, was behaving very technically. We had two bearish corrections and both of them were shaped like a flag (blue and black lines). The most recent flag, ended on Tuesday a week ago, with a nice bullish breakout. With that rise, DBK managed to set new, mid-term highs.

Currently, the price keeps trading above major supports. As long as we stay above the yellow area and the red mid-term up trendline, the sentiment is positive. Price breaking below those areas would be a signal to sell but chances for that are now rather limited.