Under Selling Pressure, Will You Trade?

Published 12/12/2014, 06:48 AM

The CAC 40 is trading below the downward trend line on a daily time frame. This shows that as long as the price is trading below this trend line, the trend remains towards the downside. The perfect definition of a down trend. The volatility for the index is not high because, it has not pierced the Bollinger® band and it is not trading away from its 20-day moving average.

The MACD and the RSI indicators are trading in line with the price action and this confirms that the current trend could continue for some time.

The CAC 40

Important zones

  • 4055- 4114 Support
  • 4451- 4505 Resistance

Disclosure & Disclaimer: The above is for informational purposes only and NOT to be construed as specific trading advice. responsibility for trade decisions is solely with the reader.

by Naeem Aslam

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