Stellantis Stock Breaks Its Support at €5.57 and Plunges by 3.5%

Stellantis Breaks Its Support at €5.57 and Moves Away from All Its Moving Averages

Stellantis loses 3.59% to €5.45 in early trading, placing it among the biggest declines on the CAC 40, alongside Renault which drops 4.35%. The stock significantly breaks its support at €5.57, already weakened in previous sessions after breaking the €5.78 last week. The technical setup has clearly deteriorated: the price is now 12.3% below the MM20 (€6.21) and nearly 30% below the MM200 (€7.72), indicating a bearish trend established at all scales. The RSI at 35 remains just above the oversold zone, with no reversal signal at this stage. Over a month, the stock has lost 16.4%, and over a year the decline reaches 33.5%.

Session Marked by a Surge in Volatility

The session is characterized by a resurgence of volatility, with the VIX jumping nearly 20% to 20.12, while the CAC 40 falls by 0.87%. Cyclical stocks are at the forefront, with the automotive sector particularly shaken, including Renault also taking a hit. In the background, a note published on June 21 highlights the coordinated tightening of tones by major central banks (ECB, BoJ, Fed), with nine members of the FOMC now anticipating at least one additional hike by the end of 2026. This environment of tighter interest rates mechanically weighs on the valuations of sectors sensitive to the economic cycle, including automotive. Based on the consensus of analysts surveyed, the stock is trading at about 6.5 times the earnings expected for the current fiscal year. The next technical marker is now the annual lows, as the support of €5.57 has given way during the session.