The Paris stock exchange ended lower even though the United States dropped the plan for American strikes against Iran. Some news outlets say Pakistan sent Washington a new Iranian proposal that could calm the conflict.
At the same time, the United States extended sanctions exemptions so that certain countries can still import Russian oil shipped by sea. This move aims to ease the energy strain caused by the war in Iran. Oil prices stayed around $110 per barrel.
In Paris, technology companies helped the market. Capgemini jumped 4.36% to €105.30 and Dassault Systèmes rose 2.81% to €20.28, likely thanks to a SAP conference this week. On the other hand, STMicroelectronics fell 0.52% to €52.15 and Legrand dropped 2.25% to €145.60, following weak results from their U.S. and Asian peers.
June Futures Overview
Resistance levels: 7,936.5; 8,006; 8,042.5; 8,167.5; 8,247; 8,331.5; 8,422.5; 8,473.5; 8,663.
Support levels: 7,874; 7,834.5; 7,779; 7,730.5; 7,665.5; 7,586.5; 7,540.5.
During the day, the index showed a bearish bias below 7,991 points.
Technical View of the CAC 40
At 2 pm, the CAC 40 closed higher after a short buying push and a brief easing of geopolitical worries. The rally filled the gap left from last Friday’s drop. For a short‑term uptrend to stay alive, the index needs to stay above 8,076 points for three consecutive closes.
Long‑term, the index could re‑enter its upward channel whose lower bound is near 8,270 points. If market conditions improve, the gap between 8,336 and 8,358 points may close, followed by the larger gap between 8,473.5 and 8,544 points. That would let the CAC 40 move toward the top of its long‑term channel, around 8,800 points.
However, the current chart shows two candles stuck near the key 8,006‑point level. A pin‑bar top and a black‑cloud covering pattern together hint at a possible reversal. Buyers struggled to break the 8,005‑point barrier, while sellers quickly regained control. The safest bet is a return to the short‑term range of 7,900–7,850 points.
Watch for a close below the intraday alert level of 7,854 points. If that happens, the index could slide to the next supports at 7,779 and then 7,730.5 points. A deeper loss of market confidence could push it toward the 7,540‑point zone.
Indicator Snapshot
The CAC 40 is trading below its 20‑, 50‑ and 200‑day moving averages. The MACD histogram is falling under its signal line. The RSI sits in a neutral zone, and trading volume is lower than the previous session.
Bottom Line
We stay cautious as geopolitical uncertainty remains high. Future trades will depend on whether the market can revive its long‑term uptrend or settle back into its short‑term range. Any new positions will be taken selectively and only when technical signals are strong enough.