The Paris Stock Exchange recovered, thanks to the publication of an indicator measuring American inflation, which came out in line with expectations on a monthly basis and slightly above the consensus over a year. The index was also supported by publications from companies on both sides of the Atlantic. Indeed, the markets appreciated the good results of Microsoft and Alphabet in the United States after the disappointment of Meta the day before. In Paris, the announcements were numerous even if the accounts presented were far from uniform.
7,500 contracts were opened on the Future CAC40 during the declining session of April 25, a sign of selling pressure.
On the future MAY
THE resistors are : 8005.5 and 8045 then 8201 even 8318 And 8420 Then 8526.5.
THE brackets are : 8929 and 7876.5 then 7677 or even 7587 And 7408 even 7319.5.
Intraday, the trend is bullish beyond 8045.
Graphically, the Future CAC40 (See attached 14 Hour chart), finally, during the session of April 25, formed a reversal candlestick called “ hammer » conjugated with a throw back on the upper terminal of the bearish channel short-term formed since March 25, thus strengthening the Chartist figure. The opening in gap bullish at the opening has, moreover, demonstrated the market’s desire to reactivate the short-term upward dynamic with the target of median of trading range positioned at 8045 points.
Indeed, the index continued its horizontal consolidation within a trading range whose limits are between 7876.5 And 8201 points. An overflow at the end of 8045would restore a short-term bullish bias with the objective of the upper part of the congestion zone. A strong and closing crossing of this major resistance would reactivate the medium-term upward dynamic towards 8526.5 points, a level obtained by replicating the height of the trading range.
Converselya fence under the major support positioned at 8005.5would be the precursor sign of a resumption of consolidation towards the lower limit of trading range situated at 7876.5. An incursion under the short-term alert would be tolerated but a closing would confirm the downward movement with the target, 7587followed by a possible extension towards 7559 points. Remember that a break of this level would reactivate the medium-term downward dynamic with a target of 7319.5 points.
To conclude, we are continuing our stock picking strategy and waiting for the stock to overflow. median of trading range closing in order to replenish the Dynamic and Investor portfolios. However, we remain cautious and ready to act if the market decides to mark a more sustained consolidation.
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