CAC 40 Futures Slip Slightly Amid US Data Uncertainty

The CAC 40 cash market ended the session lower, slipping 0.19% to 8,330.97 points on a volume of €4.11 billion.

CAC40 chart

Paris‑based investors showed caution after the index hit a fresh intraday high. Their restraint reflects a packed calendar of key events: US bank earnings, the latest US inflation reading and, possibly, a Supreme Court ruling on the legality of the Trump‑era reciprocal tariffs.

Upcoming Catalysts

  • US bank results: Earnings will test the health of the financial sector and could steer risk appetite.
  • US inflation data: The latest figure stayed above the Federal Reserve’s target, keeping rate‑cut expectations at bay until at least June.
  • Supreme Court decision: A verdict on the reciprocal tariffs could reshape trade dynamics, even if the outcome favours the administration.

Technical Outlook – Resistance Levels

Key resistance points to watch on the CAC 40 future are:

  • 8,371.5
  • 8,465
  • 8,649.5
  • 9,280

Technical Outlook – Support Levels

Significant support zones include:

  • 8,281
  • 8,237.5
  • 8,193.5
  • 8,172.5
  • 8,143.5
  • 8,101
  • 7,987.5
  • 7,970
  • 7,933
  • 7,907
  • 7,880.5
  • 7,840
  • 7,793
  • 7,765.5
  • 7,744.5
  • 7,727.5
  • 7,707.5
  • 7,683.5
  • 7,655
  • 7,640
  • 7,584
  • 7,560
  • 7,540
  • 7,431.5
  • 7,378
  • 7,174.5
  • 7,060
  • 7,045
  • 6,885
  • 6,714.5
  • 6,524

Intraday Momentum

For the day’s trading, the market remained bullish above the 8,172.5 level, indicating short‑term buying pressure.

Chart Pattern Analysis

The 14‑hour future chart attempted, without success, to break the intermediate resistance at 8,371.5 points. The price stayed above the crucial 8,281 threshold, preserving the longer‑term uptrend. A close below the descending 1‑3 trendline near 8,365 points would validate a Wolfe wave reversal, potentially pulling the index back toward the 8,281 zone. Conversely, a close above 8,371.5 would invalidate the pattern and could push the market toward the upper bound of the ascending channel around 8,465 points.

Risk Management

Our portfolios have already taken partial profits, anticipating a maximum correction of roughly 400 points. Protective hedges are in place to limit exposure while we wait for the technical pattern to confirm before considering any short positions.

Conclusion

With global data releases looming and technical levels tightly packed, the CAC 40 future is poised for a decisive move. Traders should watch the 8,371.5 resistance for a breakout cue, while the 8,281 support remains the safety net for the prevailing bullish bias.

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