After the Bell Technical Review | CAC maintains neutral outlook despite adding 0.7% yesterday

• The CCI indicator stands above +100
• Upper Bollinger Band® currently at 7,454.3

The sentiment that generated 334.46 points in cumulative gains over the past 3 days was further evident for CAC 40. Yesterday continued on the same track for CAC 40 — CAC rose 51 points to close at 7,397 yesterday which makes for a move of 0.7%.

CAC 40 hit a significant low of 15.42 around 6 months ago, but has since recovered 47,539%.

Trend and momentum analysis indicates that the Commodity Channel Index (CCI) indicator is above +100, meaning the market price is unusually high compared to the rolling average. According to asset volatility analysis, Bollinger Band® analysis indicates that current price action is approaching the upper band at 7,454.3, thereby suggesting that CAC 40 is becoming overvalued.

Notwithstanding CAC 40's appreciation in recent days, the technical outlook suggests its bullish run is now fading.

Fundamental indicators – Spain Unemployment Change beat analyst expectations of 8,500 and the previous reading of 2,600 with new data of -48,800.

CAC 40 shows positive signs, other assets are also on par: Dow Jones went up by 0.98% yesterday, and closed at 33,600. Notably, DAX rose 0.93% yesterday and closed at 15,581.

Meanwhile, Hang Seng lost 0.66% yesterday and closed at 20,400.

Upcoming fundamentals: Germany Factory Orders projected to decline to 0.3% while previous data was 1%; data will be released tomorrow at 06:00 UTC.