Skip to content

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Please ensure you fully understand the risks involved. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Please ensure you fully understand the risks involved.

​​​FTSE 100, DAX 40 dragged down by CAC 40 amid French political stalemate

​​​Outlook on FTSE 100, DAX 40 and CAC 40 as France faces political turmoil.

DAX 40 Source: Adobe images

​​​FTSE 100 slips alongside European indices

​​Last week’s FTSE 100 rejection by its May-to-July downtrend line at 8,287 has led to the late May low at 8,138 being revisited, a fall through which would open the way for the major 8,115-to-8,106 June-to-July lows to be retested.

​Minor resistance is seen between the 4 to 8 July lows at 8,177 to 8,181.

FTSE 100 chart Source:
FTSE 100 chart Source:

​DAX 40 rapidly comes off its two-week high

​The DAX 40's rally to Friday’s 18,665 high has been followed by a sharp decline to Tuesday’s low at 18,211. Below it beckons the early July low at 18,023 and the June trough at 17,950.

​Minor resistance is seen between the 24 and 26 June highs at 18,367-to-18,357 and along the 55-day simple moving average (SMA) at 18,408.

​Only a currently unexpected advance through the May-to-July downtrend line at 18,658 and above last week’s high at 18,665 would push the 18,786 to 18,935 May-to-June peaks to the fore.

DAX 40 chart Source:

​CAC 40 falls sharply as political turmoil grips the country

​The French CAC 40, which on Monday morning saw a brief relief rally to 7,742 as the left-wing and not the far right alliance won a relative majority in France’s legislative elections, dropped by over 2% since. The index is fast approaching its mid-to-late-June lows at 7,464-to-7,455 which may soon give way.

​A fall through the 7,455 June low could provoke a slide towards the January low at 7,281 and perhaps even lead to the 7,000 region being revisited.

​Resistance is far off along the 200-day SMA at 7,654.

CAC 40 chart Source:
CAC 40 chart Source:

This information has been prepared by IG, a trading name of IG Australia Pty Ltd. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients.

Take a position on indices

Deal on the world’s major stock indices today.

  • Trade the lowest Wall Street spreads on the market
  • 1-point spread on the FTSE 100 and Germany 40
  • The only provider to offer 24-hour pricing

Live prices on most popular markets

  • Forex
  • Shares
  • Indices

You might be interested in…

Find out what charges your trades could incur with our transparent fee structure.

Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

Stay on top of upcoming market-moving events with our customisable economic calendar.