He draw The manifesto of bullish and bearish forces that were present in the Ibex 35 during the last 28 sessions was broken yesterday. The Spanish selective distanced itself from the trend of the rest of its continental counterparts and this Wednesday lost the support that represented the lower part of the lateral movement in which the index was immersed in recent weeks.
“This is anything but bullish and warns us that the bears have taken control of the short-term situation in the Spanish stock market,” warns Joan Cabrero, technical analyst and strategist at ecotrader who affirms that “the threat now is that we could witness a larger-scale consolidation that could seek, in the worst case, the 10,900/11,000 points“.
Whether or not these levels are achieved will have a lot to do with the intermediate support of the 11,138 pointswhich are the September lows, and which now stand as one of the levels that can help stop an eventual fall.
Operationally, to buy the Spanish stock market again, the most advisable thing would be to wait for a return to the 10,900/11,138 points. “If this fall were to take shape, I would be in favor of taking advantage of it to buy christmas gifts“says Cabrero
The EuroStoxx 50, which already lost the support it presented in the 4,900/4,870 pointsis also open to a broader consolidation phase. In its case, the consolidation phase threatens to take the continental selective also to the September minimum zone in the 4,730 points or, in the worst case, the 4,675/4,700 points.
“I would see that as an opportunity to buy the European stock market again with a much more attractive return/risk equation than weeks ago. In this sense, think that there will be no weakness nor will I recommend drastically reducing exposure to the European stock market while the EuroStoxx 50 does not miss the August lows in the 4,470 points“, says Cabrero. “I would consider reducing it a little if the September lows in the 4,730 points and above all the 4,675/4,700 pointswhich is the adjustment of 61.80/66% of the entire last rise since the August lows,” he clarifies.
Powell Earrings
Although all eyes are still on Donald Trump’s victory in the US elections, the market’s focus today will be on the Federal Reserve and its president, Jerome Powell, who is expected to announce a new drop in the rates this Thursday. interest rates of the North American country.
Waiting to be official, Wall Street futures point to a positive start to the day, but with a more softened than the view yesterday, where the bullfighting They were euphoric in most of the US national indexes and led the S&P 500 to record its most bullish post-election day in history.
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