CAC 40 is holding above 5000 mark on reduced Frexit fears

CAC 40

The index is at the front foot on Tuesday when it opened higher, as sentiment improved after French presidential candidate Macron won the first TV debate, sidelining fears from far-right candidate Le Pen's victory that could lead France towards exit from the EU. Bullish technical studies remain supportive, as the price remains above psychological 5000 level and eyes target at 5035 (16 Mar peak, the highest traded since mid-Jun 2015). Rising daily 10SMA that tracks the rally since early Feb, offers initial support at 4994, followed by plethora of supports formed by 20/30/55 SMA's at 4958/4928/4892 respectively and thick 4-hr Ichimoku cloud (spanned between 4977 and 4912). Any break below 4900 handle could be considered as strong bearish signal.

Res: 5025; 5035; 5050; 5095

Sup: 5009; 4994; 4958; 4928

FRA40

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