Paris Stock Exchange Set to Open Lower Amid Political UncertaintThe Paris Stock Exchange is expected to open lower on Monday following the European elections, which have raised concerns about the political landscape in Europe. The CAC 40 futures dropped 76.5 points to 7925 points at around 8:15 am, indicating a session start in the red. Markets are reacting to the rise of nationalist parties and French President Emmanuel Macron's announcement of the dissolution of the National Assembly and early legislative elections. If the far-right National Rally party wins, Macron could lose domestic control, adding uncertainty to the market. The CAC 40 dropped 2.4% at the open, leading European market losses, while the Frankfurt DAX and pan-European Stoxx 600 also retreated. The euro has dropped to its lowest level in nearly a month due to the political developments.
FRANCE40CFD trade ideas
Building a Solid Portfolio: Using an Index (THE CAC 40 INDEX)Hello,
Embarking on the journey of creating a portfolio of stocks can be both exciting and challenging. One strategy that many investors consider is using a well-established index as a basis for their portfolio. In this article, we will explore the steps involved in building a portfolio with the CAC 40 Index, a benchmark index representing the 40 largest stocks listed on Euronext Paris.
Step 1: Understand the index.
Understanding an index is very key since it creates the thesis of why you should consider using it. In our case, the simplest definition of the CAC 40 index is as below
The CAC 40 is a benchmark French stock market index. The index represents a capitalization-weighted measure of the 40 most significant stocks among the 100 largest market caps on the Euronext Paris.
2: Define your investment goals
whether you are looking at strong companies that will provide consistent dividends for you or strong companies that will easily deliver price appreciation for your stocks will be very key in your next move.
Understanding your risk horizon & tolerance is also very important at this stage.
3: Understand the components of the Index.
The CAC 40 has 40 companies as its components. The companies are as follows;
Air Liquide, Airbus, Alstom, ArcelorMittal, Axa, BNP Paribas, Bouygues, Capgemini, Carrefour, Crédit Agricole, Danone, Dassault Systèmes, Edenred, Engie, EssilorLuxottica, Eurofins Scientific, Hermès, Kering, L'Oréal, Legrand, LVMH, Michelin, Orange, Pernod Ricard, Publicis, Renault, Safran, Saint-Gobain, Sanofi, Schneider Electric, Société Générale, Stellantis, STMicroelectronics, Teleperformance, Thales, TotalEnergies, Unibail-Rodamco-Westfield, Veolia, Vinci, and Worldline
4: Research Individual Companies
Once you have a sense of the companies you want exposure to, delve into the individual companies. Conduct thorough research on each company, considering factors such as financial health, earnings growth, competitive positioning, and management quality. This step is crucial in identifying the specific stocks you want to include in your portfolio. This will greatly help you in selecting the great companies among the components. We will look at 1 company among the components of the CAC 40 & you can try and look at the rest.
The company we shall explore is DANONE . Below is its chart to show its historical price move
Next understand what the company does: Danone SA engages in the food processing industry. It operates through the following geographical segments: Europe; North America; China, North Asia & Oceania; and Rest of the World. . This data can be found on Tradingview via link www.tradingview.com
Next understand the financials of the company: The same can be interrogated on the link shared before. The most important metric is the Income statement because it shows you where the company derives its value from in form of income. It also will tell you how the company spends its money. You cannot however ignore the Balance sheet and the Cashflow statement. www.tradingview.com
Once you have an understanding of the company as a whole now its key to look at structure to understand and pick great entry points. This is where we begin structure drawing and identification of patterns.
Here is the link with clear Impulses & corrections.
Very key for you to note is that the price is in a correction and close to where the 1st target would be. This tells us even though this might be a great company from all other metrics, it might not be a great company to buy from the current point. Now that we have looked at the Danone company, back to our CAC 40 index.
5: Research on all other companies that make the index.
By following these above steps, you can construct a well-rounded portfolio that aligns with your financial goals and risk tolerance.
All the best in your investment journey.
Market Dynamics: Evaluating FRA40 TrendsHello Everyone,
FRA40 remains a favorable buy, though currently, sellers are entering the market as the price has been turned away by the monthly, weekly, and daily pivot points. However, the strength of the daily support structure has yet to be tested. Both potential scenarios remain viable at this juncture.
TradeWithTheTrend3344
France's 40 to find buyers at current dip?FR40EUR - Intraday
Indecisive price action has resulted in sideways congestion on the intraday chart.
Momentum is flat, highlighting the lack of clear direction.
Risk/Reward would be poor to call a buy from current levels.
A move through 8100 will confirm the bullish momentum.
The measured move target is 8150.
We look to Buy at 8025 (stop at 7975)
Our profit targets will be 8145 and 8165
Resistance: 8100 / 8125 / 8150
Support: 8050 / 8025 / 8000
Risk Disclaimer
The trade ideas beyond this page are for informational purposes only and do not constitute investment advice or a solicitation to trade. This information is provided by Signal Centre, a third-party unaffiliated with OANDA, and is intended for general circulation only. OANDA does not guarantee the accuracy of this information and assumes no responsibilities for the information provided by the third party. The information does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
You accept that you assume all risks in independently viewing the contents and selecting a chosen strategy.
Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, Oanda Asia Pacific Pte Ltd (“OAP“) accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore customers should contact OAP at 6579 8289 for matters arising from, or in connection with, the information/research distributed.
Analysis: FRA40 Indicates Long-Term Buy OpportunityHello Everyone,
Currently, FRA40 is positioned above its 1-day pivot point, and the daily/weekly support appears to be holding up effectively. FRA40 is viewed as a long-term buy. If the present support level remains intact, we could witness immediate upward movement, with the aim of the price consolidating above the 1-month pivot point to confirm the upward trend. However, if the support level fails, there's a possibility of a retest of the 1-year support zone.
TradeWithTheTrend3344
Unveiling Strong Trends with the Adaptive Trend Finder on CAC40Hello fellow traders,
Today, I want to discuss one of my favorite tools for identifying robust short-term and long-term trends on the CAC40 using TradingView—the Adaptive Trend Finder (log). This tool employs a highly effective method based on Pearson correlation, allowing for a nuanced analysis of market trends.
Located in the middle of the chart in gray, you'll find an indicator representing the strength of the long-term trend channel. On the right side in yellow, the indicator displays the strength of the short-term trend channel. These visual cues provide valuable insights into the momentum of the market over different time horizons.
I encourage you to take a moment to examine and interpret the signals you observe on this chart. What are your thoughts on the current market direction? Feel free to share your analysis and insights in the comments below. Let's engage in a constructive discussion about the potential trading opportunities presented by these trend indicators.
Happy trading!
CAC40: Shorting The French Stock IndexHey Traders,
Amongst all other indexes, there is a strong case for the CAC40 to be short.
Coming straight up into key resistance, our pre determined short zone has allowed price to continue down.
We can now look to handle the move on the short case, turning long when and where it becomes applicable to do so.
CAC40 #HVF for a doubleBig Pattern = Big Moves
Long consolidations = Fast Breakouts
The #NIKKEI had a beautiful chart pattern and we are seeing the explosive up moves occur in that market.
The French stock market - along much Europe hasn't done much for over two years
But we are quickly approaching Target 1 of a large --- non conventional HVF
Is it monetary stimulus or economic growth that causes the CAC to double?
Don't know ...
One is more desirable of course.
But the same boys
cheering the US stock market screaming higher after a decade plus of stimulus. zero rates and buybacks, does it matter?
@TheCryptoSniper
FR40 to continue in the upward move?FRA40 - 24h expiry
There is no indication that the rally is coming to an end.
Although we remain bullish overall, a correction is possible with plenty of room to move lower without impacting the trend higher.
Risk/Reward would be poor to call a buy from current levels.
A move through 8250 will confirm the bullish momentum.
The measured move target is 8300.
We look to Buy at 8165 (stop at 8125)
Our profit targets will be 8265 and 8300
Resistance: 8250 / 8275 / 8300
Support: 8200 / 8175 / 8150
Risk Disclaimer
The trade ideas beyond this page are for informational purposes only and do not constitute investment advice or a solicitation to trade. This information is provided by Signal Centre, a third-party unaffiliated with OANDA, and is intended for general circulation only. OANDA does not guarantee the accuracy of this information and assumes no responsibilities for the information provided by the third party. The information does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
You accept that you assume all risks in independently viewing the contents and selecting a chosen strategy.
Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, Oanda Asia Pacific Pte Ltd (“OAP“) accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore customers should contact OAP at 6579 8289 for matters arising from, or in connection with, the information/research distributed.
FRA40 to find support at market?FRA40 - 24h expiry
There is no clear indication that the upward move is coming to an end.
Although we remain bullish overall, a correction is possible with plenty of room to move lower without impacting the trend higher.
Risk/Reward would be poor to call a buy from current levels.
A move through 8200 will confirm the bullish momentum.
The measured move target is 8275.
We look to Buy at 8150 (stop at 8110)
Our profit targets will be 8250 and 8275
Resistance: 8200 / 8250 / 8275
Support: 8175 / 8150 / 8125
Risk Disclaimer
The trade ideas beyond this page are for informational purposes only and do not constitute investment advice or a solicitation to trade. This information is provided by Signal Centre, a third-party unaffiliated with OANDA, and is intended for general circulation only. OANDA does not guarantee the accuracy of this information and assumes no responsibilities for the information provided by the third party. The information does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
You accept that you assume all risks in independently viewing the contents and selecting a chosen strategy.
Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, Oanda Asia Pacific Pte Ltd (“OAP“) accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore customers should contact OAP at 6579 8289 for matters arising from, or in connection with, the information/research distributed.
F40 INDEXA clean uptrend move which I caught on F40. initially on the daily chart we saw an engulfing candle which closed right above the previous bear candle on Wednesday Feb 14th. This candlestick pattern emphasised that F40 was looking to continue the uptrend and potentially break 7700. This move was 360 pips in total. No indicators, just simple price action.
CAC 40 Showing Bearish Signs Towards 7600 LevelToday, the CAC 40 index is showing signs of being bearish as it is currently trading lower than its previous closing price. This downward trend suggests that we may see a further decline towards the 7600 level in the near future.
**Disclaimer: This analysis is not financial advice and should not be taken as such. It is based solely on my own interpretation of the market data and should be used for informational purposes only.**
CAC40 may rise to 7700.00 - 7748.00Pivot
7624.00
Our preference
Long positions above 7624.00 with targets at 7700.00 & 7748.00 in extension.
Alternative scenario
Below 7624.00 look for further downside with 7600.00 & 7574.00 as targets.
Comment
The RSI is mixed and calls for caution.
Supports and resistances
7760.00
7748.00
7700.00
7681.50 Last
7624.00
7600.00
7574.00
Number of asterisks represents the strength of support and resistance levels.
French Index to rally 8% in wave iii The CAC40 has begun its up journey in what is being labeled currently as wave iii of WAVE 3.
This particular sub-dividing leg is projected moving towards EUR8100-8150 zone.
The final projected target zone for the bigger wave 3 however comes in at a much higher level of EUR 8750.