{"id":156793,"date":"2019-10-04T10:32:00","date_gmt":"2019-10-04T14:32:00","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=156793"},"modified":"2019-10-04T07:32:58","modified_gmt":"2019-10-04T11:32:58","slug":"fr40-analysis-declining-composite-pmi-bearish-for-french-stocks-fr40","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2019\/10\/fr40-analysis-declining-composite-pmi-bearish-for-french-stocks-fr40\/","title":{"rendered":"FR40 Analysis: Declining composite PMI bearish for French Stocks FR40"},"content":{"rendered":"<div id=\"inves-201800628\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">October 4, 2019<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><strong>By <a href=\"http:\/\/www.ifcmarkets.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">IFCMarkets<\/a><\/strong><\/p>\n<p><strong>Declining composite PMI bearish for FR40<\/strong><\/p>\n<blockquote><p>French private sector activities declined in September. Will the <a href=\"https:\/\/www.ifcmarkets.com\/en\/trading-conditions\/indices\/fr40\"> FR40 <\/a> stock index continue declining?<\/p><\/blockquote>\n<p>French economic data were negative on balance after slowing inflation report a week ago: while retail sales rose in August, private sector expansion slowed in September. Retail sales grew 2.3% over year in August after 1.4% growth in July, while both manufacturing and services sectors PMI\u2019s declined in September: to 50.1 from 53.4 and 51.1 from 53.4 respectively. As a result Markit\u2019s composite PMI declined to 50.8 from 52.9 in August. Readings below 50 indicate contraction. Slowing private sector activity is bearish for French equities index.<\/p>\n<p style=\"text-align: center; margin-bottom: 20px; margin-top: 20px;\"><img decoding=\"async\" style=\"float: none;\" src=\"https:\/\/www.ifcmarkets.com\/uploads\/images\/FR40_4October2019.jpg\" alt=\"FR40 approaching MA(200) 10\/4\/2019 Technical Analysis IFC Markets chart\" width=\"660px\" \/><\/p>\n<p class=\"ul-tick\">On the daily timeframe <b>FR40: D1 <\/b> has approached the 200-day moving average MA(200) which is still rising.<\/p>\n<ul class=\"ul-tick\">\n<li>The <b>Donchian channel <\/b> indicates downtrend: it is widening down.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/parabolic\">Parabolic indicator<\/a> has formed a sell signal.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/MACD\">MACD indicator <\/a> gives a bearish signal.<\/li>\n<li>The <a href=\"https:\/\/www.ifcmarkets.com\/en\/ntx-indicators\/rsi\"> RSI oscillator <\/a> is below 50 mark and level.<\/li>\n<\/ul>\n<p>We believe the bearish momentum will continue as the price breaches below the lower boundary of Donchian channel at 5408.38. This level can be used as an entry point for placing a pending order to sell. The stop loss can be placed above the fractal high at 5702.43. After placing the order, the stop loss is to be moved every day to the next fractal low, following Parabolic signals. Thus, we are changing the expected profit\/loss ratio to the breakeven point. If the price meets the stop loss level (5702.43) without reaching the order (5408.38), we recommend cancelling the order: the market has undergone internal changes which were not taken into account.<\/p>\n<h2 class=\"emailSummary\" style=\"margin-top: 15px !important;\">Technical Analysis Summary<\/h2>\n<table style=\"border: solid 1px black;\" cellspacing=\"0\" cellpadding=\"0\" align=\"left\">\n<tbody>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Order<\/b><\/td>\n<td align=\"left\" valign=\"top\">Sell<\/td>\n<\/tr>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Sell stop<\/b><\/td>\n<td align=\"left\" valign=\"top\">Below 5408.38<\/td>\n<\/tr>\n<tr>\n<td align=\"left\" valign=\"top\"><b>Stop loss<\/b><\/td>\n<td align=\"left\" valign=\"top\">Above 5702.43<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>Market Analysis provided by <a href=\"http:\/\/www.ifcmarkets.com\/\" target=\"_blank\" rel=\"noopener noreferrer\">IFCMarkets<\/a><\/p><div id=\"inves-1336253212\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n","protected":false},"excerpt":{"rendered":"<p>By IFCMarkets Declining composite PMI bearish for FR40 French private sector activities declined in September. Will the FR40 stock index continue declining? French economic data were negative on balance after slowing inflation report a week ago: while retail sales rose in August, private sector expansion slowed in September. Retail sales grew 2.3% over year in [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-156793","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/156793","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=156793"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/156793\/revisions"}],"predecessor-version":[{"id":156812,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/156793\/revisions\/156812"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=156793"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=156793"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=156793"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}