Technical Update - 855.10 pivotal for ASML: A determinant of market direction Technical Update - 855.10 pivotal for ASML: A determinant of market direction Technical Update - 855.10 pivotal for ASML: A determinant of market direction

Technical Update - 855.10 pivotal for ASML: A determinant of market direction

Equities 2 minutes to read
Kim Cramer Larsson

Technical Analyst, Saxo Bank

  • ASML trading lower after earnings announcement but above key support. 855.10 seems to be pivotal for bull/bear trend

ASML gapped lower but opened right at the key support level of EUR 858.10 following this morning's earnings announcement. The stock dipped to 855.10, mirroring the drop seen on 19th March, but subsequently, buyers have pushed it up by a couple of percent. 855.10 seems to be a pivot point for buying and selling control.

If ASML closes below 855.10 daily, it is likely to face selling pressure, potentially dropping to around 825-811. Should it close below 811, the selling could intensify down to strong support level at 760.

For ASML to resume an uptrend, it needs to close the gap formed this morning, i.e., a daily close above 898.60 is required. However, to confirm the uptrend, a daily close above 925 is necessary. Nonetheless, this would not negate the top and reversal Dark Cloud cover formed on 8th March; a close above the peak at 958.40 is essential to cancel that.

The strength indicator RSI has been declining while the share price has continued to climb, indicating a divergence or market imbalance that warns of potential trend exhaustion. If ASML closes below 855.10 and the RSI drops to close below the 40 threshold, a downtrend is confirmed.

On a medium-term basis, as seen on the weekly chart, the technical picture is somewhat unclear. The RSI still indicates positive sentiment without divergence. However, the strength indicator is moving below its rising trend line. If the RSI drops below the 60 threshold combined with ASML closing below 855.10, a larger sell-off could be triggered.

The pivot level of 855.10 remains crucial.

For an analysis on the AEX Index Technical analysis AEX25 testing key support CAC40 and SMI20 in downtrends

Source all charts and data: Saxo Group

Saxo Capital Markets (Australia) Limited prepares and distributes information/research produced within the Saxo Bank Group for informational purposes only. In addition to the disclaimer below, if any general advice is provided, such advice does not take into account your individual objectives, financial situation or needs. You should consider the appropriateness of trading any financial instrument as trading can result in losses that exceed your initial investment. Please refer to our Analysis Disclaimer, and our Financial Services Guide and Product Disclosure Statement. All legal documentation and disclaimers can be found at

The Saxo Bank Group entities each provide execution-only service. Access and use of Saxo News & Research and any Saxo Bank Group website are subject to (i) the Terms of Use; (ii) the full Disclaimer; and (iii) the Risk Warning in addition (where relevant) to the terms governing the use of the website of a member of the Saxo Bank Group.

Saxo News & Research is provided for informational purposes, does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. No representation or warranty is given as to the accuracy or completeness of this information. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. No Saxo Bank Group entity shall be liable for any losses that you may sustain as a result of any investment decision made in reliance on information on Saxo News & Research.

To the extent that any content is construed as investment research, such content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication.

None of the information contained here constitutes an offer to purchase or sell a financial instrument, or to make any investments.Saxo Capital Markets does not take into account your personal investment objectives or financial situation and makes no representation and assumes no liability as to the accuracy or completeness of the information nor for any loss arising from any investment made in reliance of this presentation. Any opinions made are subject to change and may be personal to the author. These may not necessarily reflect the opinion of Saxo Capital Markets or its affiliates.

Please read our disclaimers:
- Full Disclaimer (
- Analysis Disclaimer (
- Notification on Non-Independent Investment Research (

Saxo Capital Markets (Australia) Limited
Suite 1, Level 14, 9 Castlereagh St
Sydney NSW 2000

Contact Saxo

Select region


The Saxo trading platform has received numerous awards and recognition. For details of these awards and information on awards visit

Saxo Capital Markets (Australia) Limited ABN 32 110 128 286 AFSL 280372 (‘Saxo’ or ‘Saxo Capital Markets’) is a wholly owned subsidiary of Saxo Bank A/S, headquartered in Denmark. Please refer to our General Business Terms, Financial Services Guide, Product Disclosure Statement and Target Market Determination to consider whether acquiring or continuing to hold financial products is suitable for you, prior to opening an account and investing in a financial product.

Trading in financial instruments carries various risks, and is not suitable for all investors. Please seek expert advice, and always ensure that you fully understand these risks before trading. Saxo Capital Markets does not provide ‘personal’ financial product advice, any information available on this website is ‘general’ in nature and for informational purposes only. Saxo Capital Markets does not take into account an individual’s needs, objectives or financial situation. The Target Market Determination should assist you in determining whether any of the products or services we offer are likely to be consistent with your objectives, financial situation and needs.

Apple, iPad and iPhone are trademarks of Apple Inc., registered in the US and other countries. AppStore is a service mark of Apple Inc.

The information or the products and services referred to on this website may be accessed worldwide, however is only intended for distribution to and use by recipients located in countries where such use does not constitute a violation of applicable legislation or regulations. Products and Services offered on this website is not intended for residents of the United States and Japan.

Please click here to view our full disclaimer.