Binary options on CAC40 fell by some 0.87% on Tuesday’s trading session with closing underlying asset prices at 3’291.66. Binary traders have traded in sideways channel during last session, as binary traders eyed the European Central Bank’s policy meeting this week. Amid speculation the central bank may announce fresh easing measures, while the Federal Reserve is about to begin its own two-day meeting. The CAC40 remains bullish on those levels and some higher prices could be seen over the next sessions.
During late June, binary traders pushed prices inside a downward channel clearly defined below the 61.8% Fibonacci retracement. Then started to be mainly buying binary calls options on the index, to bring prices inside an uptrend channel pattern over 38.2% Fibonacci retracement. During yesterday’s trading session, binary traders pushed prices over the Bollinger line resistance at 3’334.82. A break from those levels could accelerate the rebound up to the upper line of the channel at 3’352.39 top resistance, with even a chance to test the major resistance situated at 3’380.43. On the downside view, a break of the minor support situated at 3’’297.01 will open the door for an objective to test back the 38.2% Fibonacci support at 3’250.26. A break and a close below those levels will suggest the CAC40 prices will go back over the MA200 line support at 3’208.53.
The information in the above analysis is collected from different sources and should serve for informative purposes only. The author shall not be held responsible for the validity of the presented information. No part of this analysis recommends the purchase or sale of a currency pair or any other financial instrument.