CAC 40 Rebounds From Weekly Lows
- CAC 40 Bounces Back After Early Declines
- Intraday CAC 40 Resistance is Found at 4,429.80
- What’s next for the equities market? Learn more with our Trading Guide
The CAC 40 is trading lower this morning, with the Index currently down -0.71%. As a whole, European shares have been declining as Deutsche Bank’s recent decline is still resonating across markets. Technip has the largest gain on the Index so far, trading up 1.97%. Technically, the CAC 40 is currently rebounding off of its low of the day at 4,340.00. As prices bounce, trader should monitor short-term values of support and resistance to help determine if this movement is a retracement, or the beginning of a new trend.
CAC 40, 30 Minute Chart
(Created with TradingView Charts)
Intraday, the first value of support for the CAC 40 may be found near 4,360.20. So far, the Index has tested this value once, and price have now rebounded back near daily highs. Now the Index is moving on resistance at 4,429.80. If prices remain beneath this value, it may suggest that prices may again decline back towards support. However a move above this point, may suggest that a bullish breakout may be developing. In a bullish scenario, traders may look for the next value of resistance near 4,464.58. It should be noted, that bearish breakouts may be signaled beneath 4,325.43. A move to this point would place the CAC 40 at new weekly lows to close trading this Friday.
---Written by Walker England, Market Analyst
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DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.