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
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
Oil - US Crude
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
Wall Street
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
Gold
Bearish
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
GBP/USD
Mixed
USD/JPY
Mixed
More View more
Real Time News
  • RT @ncitayim: #Algeria oil minister says emergency #Opec++ meeting tomorrow will discuss a massive reduction in production, which could rea…
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 95.73%, while traders in Wall Street are at opposite extremes with 69.77%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/i70PE57WlU
  • Fed Minutes: - Some members emphasized that the temporary nature of the current shock to the economy from the virus is not comparable to the last financial crisis $DXY
  • Fed Minutes: - All members see the near-term economic outlook being sharply lower than previously - Virus began to impair consumer confidence and had a worsening impact on household conditions $SPX
  • Fed Minutes: - Repo lending was expanded to combat deterioration in term funding markets, but did little to improve conditions $DXY
  • Fed Minutes: - Corporate bond markets trading and liquidity levels were very low, but not at 2008 levels - Some primary dealers in the Treasury market reported acute declines in market liquidity $DXY
  • Indices Update: As of 18:00, these are your best and worst performers based on the London trading schedule: US 500: 1.94% Wall Street: 1.88% France 40: 0.10% Germany 30: -0.13% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/MvHX55TCeE
  • Canadian Finance Minister Morneau: - Applications for small business loan to begin Thursday - BBG
  • Heads Up:🇺🇸 USD FOMC Meeting Minutes (MAR 15) due at 18:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-04-08
  • Fed's Barkin: - Downturn from virus will be deep $DXY
CAC 40 Trades Lower After Critical Breakout

CAC 40 Trades Lower After Critical Breakout

2016-06-16 12:40:00
Walker England, Forex Trading Instructor
Share:

Talking Points

  • CAC 40 Price Action Moves Lower as Brexit Fears Rattle Equities Markets
  • CAC 40 Finds Support Near 4,100.00
  • If you are looking for more trading ideas for equities markets, check out our Trading Guides

The CAC 40 is trading lower this morning, and is currently down -.77% on the day. European Indices as a whole are trading lower, with the lower bank shares and Brexit fears weighing on markets. Of the 40 listed CAC components, 37 are trading lower. So far, Technip has led the decline and is trading down -2.87% for the day.

CAC 40 Daily Chart

CAC 40 Trades Lower After Critical Breakout

(Created using Marketscope 2.0 Charts)

Technically, the CAC 40 has continued to decline after breaking out of a symmetrical triangle, which was identified last week. In the event that prices close lower today, it will mark the sixth decline in the index over the last 7 sessions. The next values of support for the Index includes the February 2 swing low at 4,115.80 and the psychological 4,100.00 level. In the event that prices break below 4,100.00, it opens up the CAC 40 to test new yearly lows below 3,890.50. Alternatively, if price action finds support, the Index may bounce back to the point of its initial breakout. The ascending line that previously comprised triangle support is now acting as resistance, and can be found near 4,295.71.

CAC 40 Trades Lower After Critical Breakout

Find out real time sentiment data with the DailyFX’s sentiment page.

Sentiment for the CAC 40 (Ticker: FRA40) remains extremely positive with SSI (speculative sentiment index) reading at +2.70. This value has increased from last week’s reading of +2.20. Now with 73% of positioning long, SSI suggests that the CAC 40 may be poised for a further decline. In the event that the Index finds support, traders should look for SSI to neutralize as prices advance.

To Receive Walkers’ analysis directly via email, please SIGN UP HERE

See Walker’s most recent articles at his Bio Page.

Contact and Follow Walker on Twitter @WEnglandFX.

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

DISCLOSURES

News & Analysis at your fingertips.