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Indices | FRA40 Pushing at a New Leg Higher?

Published: 09.05.2023
by Joseph Jeffriess

Today’s focus FRA40 CAC

Pattern – Support hold – continuation – HL
Possible targets – 7465 – 7600
Support – 7315 – 7360
Resistance – 7460 (ST)
Indicator support – CCi close to 0 cross – 38.2 fib area

Could we see a new leg higher on the FRA40? After Monday’s holiday, the price opened lower on Tuesday, but there are a few bullish signs to watch that could suggest a new push higher. The price formed an HL in the 38.2 fib area, support has been formed, and we can see the support hold from a previous point of resistance. The price broke through the trendline, but we still need to see a new rally to confirm that.

A new lower that closes below support is a worry and could invalidate the idea. Another factor is tomorrow’s U.S. CPI data release. Depending on the result, this could impact U.s=S. indices and, in turn, move European indices. The Core is expected to come in lower, with Y/Y flat at 5.0% and the M/M higher at 0.4%. The CPI data is due to be released at 8:30 am EST tomorrow.

FRA40 Analysis 

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