BNP Paribas share price drops and breaks its support at €101.94
After reaching a historic record in early August, BNP Paribas is going through a significant correction phase. The share briefly fell below its technical support level during trading, in a Paris market also oriented downwards.
BNP Paribas falls back below its two moving averages following the breakdown of support at €101.94
During Thursday's session, BNP Paribas loses 3.39% to €102.14, after briefly breaking through its support threshold at €101.94, touching an intraday low of €101.10. The share has since recovered slightly above this level, but the alert remains real: the downward breach, even if temporary, signals marked selling pressure. The Paris-based bank is now trading below its 50-day MA (€105.61) and its 20-day MA (€109.90), two levels it had clearly surpassed on the upside during its historic record of €113.46 on August 6.
The RSI at 43 remains in neutral territory, with no clear oversold signal for now, but the MACD shows a negative histogram (-1.05), confirming unfavorable short-term momentum. Over the week, the decline reaches 4.35%, and over one month 3.57%, erasing part of the gains accumulated since spring. The resistance at €112.80 remains distant, more than 10% away from the current price.
Widespread sector decline and contained valuations for the French bank
BNP Paribas is among the biggest losers on the CAC 40 on Thursday, in a French banking sector under pressure: Société Générale falls 2.73% and Crédit Agricole declines 2.95% during trading. The CAC 40 itself loses 0.96%, in a contrasting European context (the DAX gains 0.63% during the session). On the rates side, the 3-month Euribor stood at 2.425% on July 1st, up 0.40 points over one year, a level historically negatively correlated with the profitability of variable-rate credit portfolios.
On the valuation front, according to the analyst consensus reviewed, the share is trading at around 8.9 times expected earnings for the current fiscal year, and 7.7 times those of the following fiscal year, with earnings per share growth anticipated at +14.5%. Despite today's correction, the twelve-month performance remains solid at +32.6%, and the share maintains a cushion of nearly 12% above its 200-day MA (€91.20). The support at €101.94, briefly breached this morning before a rebound, represents the first level to watch for the rest of the session.
