ArcelorMittal Shares Decline Despite Oddo BHF Raising Target to 60 Euros

Unexpected Decline Following Positive Analyst Update

The day's decline comes paradoxically after a positive signal from the research firm Oddo BHF. On Wednesday, the firm raised its price target on ArcelorMittal from 58 to 60 euros, while reiterating its outperformance rating. At 50.42 euros during the session, the stock is approximately 16% below this target, indicating significant revaluation potential according to the analyst. Despite this favorable note, ArcelorMittal is down 2.1% from the previous day's close (51.50 euros). The stock is moving in line with the downward trend seen in the CAC 40, which is down 0.56% at 8,217 points during the session. Other major industrial stocks listed in Paris are also experiencing sell-offs, such as Airbus, which is down 2.48%.

Strong Year-Long Performance with Underlying Bullish Trend

Over the past year, the stock has shown a gain of nearly 123%, and more than 25% over the last three months. The medium-term momentum remains strong: the price is well above its 200-day moving average (35.88 euros) and its 50-day moving average (48.39 euros), confirming the underlying bullish trend. However, the Relative Strength Index (RSI), currently at 34, is nearing the oversold threshold set at 30. This level indicates short-term selling pressure that contrasts with the upward trajectory observed in recent weeks. The stock is positioned in the middle of its Bollinger Bands, between an upper bound at 59.41 euros and a lower bound at 39.76 euros, with no extreme overbought or oversold conditions according to this indicator. The next technical support is identified at 42.01 euros, while the major resistance is at 56.92 euros.