CAC 40 Declines for 6th Session
- CAC 40 Declines For 6th Session
- The CAC 40 Now Trades Under the 200 Day SMA at 4,417
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The CAC 40 is set to close this week’s trading lower, after declining for the 6th consecutive daily session. Currently the CAC 40 is trading down -1.08% for Friday’s trading. Of the 40 listed components, Societe Generale is leading the decline trading down -3.40%. Technical traders should note that prices are now back below their 200 day SMA (Simple Moving Average). This line found at 4,417 and was previously acting as support for the Index. However with the CAC 40 trading below this line, it may now be used as a reference point for resistance.
CAC 40, Daily Chart
The CAC 40 is also trading beneath key short term technical values of support. This includes the S4 Camarilla pivot displayed below at 4,411.4. Even with price retracing from the daily low of 4,394.80, this implication is typically bearish. In the event of a continued decline, traders may extrapolate 1X today’s trading range to find initial bearish targets near 4,401.50. In the event of a bullish reversal, it would be expected to see the CAC 40 not only trade back above the S4 pivot, but advance to the S3 pivot at 4,421.85.
CAC 40, 30 Minute Chart with Pivots
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.