Technical analysis CAC indexes | Our expectations:
The price is holding below key levels of horizontal resistance below 5474 and possibly activating a triangle formation gives the opportunity to sell if a breakout below 5418 occurs with SL at 5514.
Fibonacci 38,2 of the last downward movement is a positive signal.
Probably death crossing of the SMA50 and SMA200 amplify the signal for a likely downward impulse.
Today is the ECB meeting as expectations are for an hawkish tone for the monetary policy - positive for the euro, which will make stocks expensive and the probable caution at the start of the European session may lead to short-term sales at the stock markets.
Alternative scenario: False breakthrough under the diagonal support of the formed triangle can reverse moods to positive.
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