Talking Points
- CAC 40 Bounces Higher, Trading up +1.83%
- Intraday CAC 40 Resistance is Found Near 4,501.70
- What’s next for the equities market? Learn more with our Trading Guide
The CAC 40 has rebounded off of weekly lows, and is currently trading up +1.83% for the session. This rebound of price has occurred as the Index failed to break below critical values of support in a developing triangle pattern. With today’s rally, the CAC 40 is now testing triangle resistance under 4,500. If the Index again fails to breakout, it may suggest continued consolidation going into next week’s trading. However, traders should continue to monitor daily support and resistance to determine the CAC 40’s next directional breakout.
Of note, top CAC 40 Gainers for the session include BNP Paribas +3.33%, L'Oréal +3.07%, and Société Générale +3.02%. Top losers include Cap Gemini -.93% and Airbus Group trading down -1.06% so far on the session.
CAC 40, Daily Chart & Triangle
(Created with TradingView Charts)
Intraday values to watch include today’s R3 pivot at 4,501.70. The Index is currently trading below this value, and a move beyond this value exposes the Index to a broader Daily breakout. If the CAC 40 begins to fall into the close, it may open the Index up to test other key values now acting as support. This includes the R2 pivot at 4,450.20 and the R1 pivot found near 4,427.50. In the event that the CAC 40 makes a full reversal, traders may begin to look for intraday bearish breakouts underneath yesterday’s low of 4,369.50.
CAC 40, 30 Minute Chart
(Created with TradingView Charts)
---Written by Walker England, Market Analyst
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