Technical Quick Note - AEX25 and CAC40 fast approaching July lows. BEL20 taken out key support
Kim Cramer Larsson
Technical Analyst, Saxo Bank
AEX25 gapped lower this morning testing key support 671 which is also the 0.618 retracement of the June-July uptrend. A minor bounce could be seen where buyers will try to close the gap but they will most likely not be successful. The trend is down supported by RSI being below 40 and for AEX to demolish the bearish picture a close above 723 is needed.
BEL20 broke below March lows and support at 3,562 this morning. An opening gap and continued selling. If BEL20 closes below the broken support level at 3,562 there is minor support at 3,506 and the 0.764 retracement at 3,332. Strong support around 3K.
CAC40 gapped lower this morning testing support at 6,036. The leading French Index is on course to test July lows at around 5,786 where a bounce should be expected. To demolish this bearish picture a close above 6,450 is needed. A close above 6,300 will most likely just pause it for a moment.
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