Current trend

One of the leading indexes of the European economy CAC 40 is corrected at around 6969.0.

Yesterday, energy and gas company Engie SA published its financial results, recording this year's minimum revenue of 14.8 billion euros, which not only fell short of the forecast of 26.73 billion euros, but also turned out to be worse than the 18.99 billion euros shown in the previous quarter. Despite this, earnings per share were higher than the expected 0.30 euros, amounting to 0.31 euros.

In turn, one of the world's largest consulting companies in the field of management and information technology, Capgemini SE, reported revenue of 5.48 billion euros, which is inferior to the forecast of 5.50 billion euros, as well as 5.70 billion euros shown in previous quarter.

Today, the financial results of the largest European aerospace industry corporation Airbus Group SE are expected to be published. Analysts expect the aircraft maker's revenue to be 15.01 billion euros, down from 15.90 billion euros previously, and earnings per share of 1.17 euros, also below the 1.34 euros recorded in the previous quarter.

The growth leaders in the index are Teleperformance SE ( 3.71%), Capgemini SE ( 2.52%), Carrefour SA ( 1.17%).

Among the leaders of the decline are Edenred SA (-4.29%), Renault SA (-3.13%), TotalEnergies SE (-2.27%), BNP Paribas SA (-1.51%).

Support and resistance

On the daily chart, quotes are holding just below the resistance line of the global downward channel with boundaries of 7100.0–6750.0, preparing to continue moving in the downward direction.

Technical indicators were unable to change the trend and are ready to continue strengthening the sell signal: fast EMAs on the Alligator indicator are moving away from the signal line again, and the AO histogram, being near the transition level, continues to form corrective bars.

Support levels: 6930.0, 6750.0.

Resistance levels: 7090.0, 7300.0.

Trading tips

If the asset continues declining and the price consolidates below 6930.0, short positions can be opened with the target at 6750.0. Stop-loss — 7000.0. Implementation time: 7 days and more.

If the asset continues local growth, and the price consolidates above the local resistance at 7090.0, long positions with a target of 7300.0 and stop-loss of 7000.0 will be relevant.