SES Shares Tumble Over 3% Breaking Support at €7.11
The Luxembourg-based satellite operator starts the session with a sharp decline, breaking through a new technical level. The downward spiral that began three weeks ago is accelerating, in a Parisian market that is also trending downward. The stock is moving further away from its multi-year highs reached at the end of May.
Breaking Support at €7.11 and Losing Over 22% in a Month
SES shares fell 3.27% to €6.96 at the opening, after breaking through its support at €7.11 during the session. This break opens the path to the 200-day moving average, located at €6.51, which is about 6.9% below the current price. The stock is now significantly below its 20-day moving average (€8.31) and 50-day moving average (€7.70), with a gap of more than 16% below the former, indicating a broken short-term momentum.
The RSI at 37 reflects the selling pressure on the stock without yet reaching the oversold zone. Over a month, the loss reaches 22.23%, after a weekly slide of nearly 11%. The quarterly performance remains positive (+15.4%) but is eroding session by session, as the spring rally that had taken SES to a four-year high now seems far away.
Geopolitical Easing and Increased Volatility Weigh on Satellite Sector
The movement occurs as the SBF 120 falls by 1.02%, weighed down by a more nervous market atmosphere. The VIX jumps 21.3% to 20.35, reflecting increased tension on risky assets. Several external factors contribute to this context: on June 21, the US CENTCOM denied Tehran's claim of closing the Strait of Hormuz, which maintains a certain decrease in the oil risk premium (Brent around $78.7).
This relative geopolitical easing continues to weigh on satellite and defense-related stocks, including SES, after the spring tension peaks that had fueled their surge. The stock finds itself at the bottom of the SBF 120, while the last place goes to Soitec (-7.88%) and STMicroelectronics (-6.4%) also ranks among the largest declines. The confirmed closing below the support at €7.11 shifts the focus area towards the 200-day moving average at €6.51, the next major technical reference for the stock.
