The euro zone Euro STOXX 50 index will be poised for a nearly 3percent upside in the very short term if it manages to close above a keytechnical level, triggering a surge that could pave the way for a major rally,according to ING.
The gauge of 50 euro zone blue chips, up 0.5 percent at 2,468.30, couldeasily rise to last Friday's high of 2,534 in the next few days if it manages toclose above its 50-day moving average at 2,484 on Thursday, ING's seniortechnical analyst Roelof-Jan Van den Akker says.
He adds a further push above 2,610, a strong resistance corresponding tohighs tested in March and September, would mark the start of a major rally.
"A break above 2,610 would be very bullish in confirming that we are seeinghigher bottom again and then (we would be) rallying towards 3,000," Van DenAkker says.
Reuters messaging rm://francesco.canepa.thomsonreuters.com@reuters.net
Keywords: MARKETS EUROPE STOCKSNEWS