We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bullish
Oil - US Crude
Mixed
Wall Street
Bullish
Gold
Bearish
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
More View more
Real Time News
  • The trio of central banks overseeing the commodity currencies have already cut their main rates to all-time lows. Get your market update from @CVecchioFX here: https://t.co/OSUXrN5P3j https://t.co/3nwDel6e28
  • The tension from March continues to subside, allowing for the $USD to slide to fresh two-month-lows. Get your currencies market update from @JStanleyFX here: https://t.co/bRSRjUqg6Z https://t.co/Q35YpIZEd2
  • López Obrador hopes #USMCA will help tighten trade relationships between the US and Mexico. Get your currencies market update from @HathornSabin here: https://t.co/bZrUKSCGaS https://t.co/MZ7UoiWWRj
  • The $AUD may suffer as relations between Australia and China deteriorate amid dwindling growth prospects. Euro traders will be closely watching progress in talks about a €500b recovery fund proposal. Get your market update from @ZabelinDimitri here: https://t.co/LkEFJViPWY https://t.co/sofO135ElG
  • The US Dollar could rise against #ASEAN currencies such as the Singapore Dollar as US-China tensions seem to escalate. The Indian Rupee is also looking ahead of local 1Q GDP data. Get your ASEAN currencies market update from @ddubrovskyFX here:https://t.co/LkEFJViPWY https://t.co/ZGFaQQ3Hr2
  • The #Euro is the big driver here for DXY as it is 57% of the index. It is rising now and trying to break above the March 27 high at 11147. Get your $EURUSD technical analysis from @PaulRobinsonFX here:https://t.co/6gt3F9LuGP https://t.co/73SaL5AeXD
  • U.S. Market Analyst at https://t.co/JsVsSmefgR, Shain Vernier covers - ✔️ Safe haven assets in volatile markets ✔️ Central banks and governments ✔️ How will commodities trade in a recession Only on Trading Global Markets Decoded #podcast. Tune in here: https://t.co/1UmEzEbwiy https://t.co/EIC9YqfTec
  • Anybody else think that casting directors in movies are some of the most underrated people when it comes to giving a film/series credit?
  • No https://t.co/EoBltaP17k
  • Crude #oilprices may face heightened liquidation pressure as the cycle-sensitive #commodity finds itself under the pressure of resilient resistance and a vulnerable, multi-week rising channel. Get your crude #oil market update from @ZabelinDimitri here: https://t.co/cGPX4qcOH1 https://t.co/0U4JMJVFuf
CAC 40 Price Outlook: French Index Pulls Back from Resistance

CAC 40 Price Outlook: French Index Pulls Back from Resistance

2020-04-02 18:30:00
Peter Hanks, Analyst
Share:

CAC 40 Forecast:

  • The CAC 40 will look to the nearby Fibonacci level around 4,140 for support
  • If the index can consolidate above the March 19 lows, bullish opportunities may arise
  • Conversely, a break below the recent swing-low could suggest further losses

CAC 40 Price Outlook: French Index Pulls Back from Resistance

The CAC 40 moved lower on Thursday as it backed off resistance around 4,500. Despite Thursday’s price action, the bullish break above the 2018 low is an encouraging development for bulls looking to continue the run higher in the weeks ahead. In the meantime, price action would suggest traders are apprehensive stocks can continue higher. At this stage, consolidation above the recent swing-low on March 19 may actually be a healthy development in pursuit of a longer-term recovery rally.

CAC 40 Price Chart: Daily Time Frame (March 2018 – April 2020)

CAC 40 price chart

Therefore, the nearby Fibonacci level at 4,140 offers bullish traders an early opportunity to keep price afloat before the swing-low and subsequent Fibonacci level are required. Should the outlined levels fail, a lower low would be established, and the CAC 40 would be more vulnerable to further losses. On the other hand, consolidation above 3,528 would suggest investors are comfortable with the resultant valuation, providing cause to explore bullish opportunities.

France 40 MIXED
Data provided by
of clients are net long. of clients are net short.
Change in Longs Shorts OI
Daily -6% -14% -11%
Weekly -32% 25% -5%
What does it mean for price action?
Get My Guide

In the meantime, however, IG Client Sentiment data suggests the CAC 40 may fall further before it can continue higher once more. Ideally, a deeper pull back and consolidation above the 3,528 level might provide a more attractive risk-reward profile for exploring topside opportunities, but price action rarely unfolds so cleanly.

--Written by Peter Hanks, Junior Analyst for DailyFX.com

Contact and follow Peter on Twitter @PeterHanksFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.