BIC Shares Drop Nearly 3% and Stall at €61 Resistance

A Retreat that Cools the Bullish Momentum of Recent Sessions

BIC shares fall 2.79% to €59.30, down from €61 the previous day. The stock loses ground as the CAC 40 drops nearly 2% and the SBF 120 by 1.94%, in an atmosphere weighed down by US strikes against Iran and the claimed retaliation by Tehran in Kuwait and Bahrain. The VIX rises nearly 13% to 18.22, indicating a resurgence of risk aversion in the markets. Despite today's decline, the stock is still up +4.04% for the week and +6.85% for the month, showing that today's movement is a breather after the rebound that began in the spring. The previous session saw BIC among the top gainers of the SBF 120 and targeting the €65 mark, according to our tracking of the value. The price now struggles at the €61 resistance, exactly the closing level of Tuesday, which acted as an immediate ceiling.

RSI in Overbought Territory Hinders Progress Below the €61 Resistance

The stock remains above its three moving averages, with a gap of 3.24% over the MM20 (€57.44), 3.31% over the MM50 (€57.40), and 10.31% over the MM200 (€53.76). This setup confirms the bullish orientation in the medium term. The RSI, at 71, enters the overbought zone and makes a pause credible after the continuous rise from the low point in May. Breaking the €61 resistance, the ceiling of recent sessions, remains a condition to extend the movement towards the €65 mentioned yesterday. Regarding analyst opinions, Kepler Cheuvreux maintained a 'hold' rating on July 6 with an unchanged price target of €51, about 14% below the current price. The stock is thus trading above the research firm's target, which partly explains the continued caution on the value. The technical support at €54.70 represents the first support zone in case of further consolidation.