SES Stock Breaks the €7.40 Support and Plummets 12% Over the Week
The Luxembourg-based satellite operator opens the session deep in the red, continuing the downward spiral of recent sessions. The stock is among the worst performers in the SBF 120 as geopolitical relaxation in the Middle East continues to weigh on satellite defense-related stocks. The breach of the closely watched technical support alters the game for the stock.
The €7.40 Support Breaks, Bearish Acceleration Towards the MM200
SES stock loses 3.24% to €7.16 at the opening, breaking through the €7.40 support level identified as the last technical bastion. The stock is among the largest declines in the SBF 120, contrary to an almost stable index. Over the week, the decline reaches nearly 12%, erasing part of the gains accumulated over three months (+15.2%).
The technical landscape has significantly deteriorated. The price is now 16.8% below the 20-day moving average (€8.61) and 6.3% below the MM50 (€7.64), while the RSI at 38 indicates buyer fatigue without yet tipping into the oversold zone. There remains a notable cushion above the MM200 at €6.49, which is 10.3% below the current price: a level that becomes the next natural reference point should the movement continue.
Geopolitical Relaxation in the Middle East Extends Pressure on Satellite Sector
The movement is part of the context of the G7 in Évian, where Washington presented a memorandum aiming for a preliminary agreement with Iran, including the gradual reopening of the Strait of Hormuz by June 19. This de-escalation in the Middle East has weighed on defense and satellite-related stocks for several sessions, following the rally fueled by spring tensions. The stock had reached a multi-year high at €8.65 in May, driven by a gain of over 40% over the year, from which it is now significantly distancing.
The session also unfolds under the Fed led by Kevin Warsh, whose monetary policy decision and new dot plot are expected at the close of the American session. Over one year, the performance remains largely positive at +41%, but the short-term momentum has reversed. The behavior of the price around the MM200 at €6.49 will be the next major technical reference point if the break of the €7.40 support is confirmed over time.
