Key support level at 4,299.46 looms for downtrending the STOXX Europe 50 Index; currently 10.37 points away

• The STOXX Europe 50 Index hasn't been as low as 4,274 in 4 weeks and a half.
• Price action honing in on likely support at 4,299.46

Having fallen 98.41 points in 8 days, Yesterday's session continued down the same path: after ending Tuesday at 4,310.18, the STOXX Europe 50 Index went up to 4,302 only to drop back to its starting point and close at 4,289.

The index has been trending positively for about a month. Having soared to a high of 4,408.59 approximately 13 days ago, the STOXX Europe 50 Index is now trading 2.23% lower.

The STOXX Europe 50 Index's notable support and resistance levels: EuroSTOXX could begin to recover as it approaches significant support, now 10.37 points away from 4,299.46. Dipping below could be an indication that further losses are ahead. With regards to technical trend indicators, chart analysis show that the Commodity Channel Index (CCI) indicator is below -100, meaning the market price is unusually low and below its rolling moving average. Technical analysis indicates that a new, strong downtrend could be forthcoming with short positions favored. Yesterday's price action generated a Japanese candlestick pattern showing 'Bullish Harami' is a candlestick chart indicator used for detecting reversals in an existing bear trend. It is generally indicated by a small price increase that's contained within a broader downward price movement and is commonly associated with a bearish trend coming to an end. Analysis based on the asset volatility indicates that Bollinger Bands® shows an indication of recovery: the lower band is at 4,273, a low enough level to, generally, suggest that the STOXX Europe 50 Index is trading below its fair value.

All in all, the technical analysis suggests the STOXX Europe 50 Index has no clear-cut direction.

Fundamental indicators – Euro Zone Composite PMI came out at 54.1, while a consensus of analysts was expecting 54.4.

In the meantime, negative performances are also seen in other markets, Dow Jones lost 0.8% yesterday and closed at 33,700. S&P 500 retreats 0.7% yesterday and closed at 4,119.58.

Other assets are showing positive performances as Hang Seng went up by 1.27% yesterday, and closed at 19,949.

Upcoming fundamentals: Euro Zone Deposit Facility Rate (May) will be released today at 12:15 UTC.