The weekly balance that Ibex 35 will show this Friday at the close of the session is not very encouraging for the bulls. The falls accumulated over the last five days, which in the main markets of the Old Continent resulted in losses of more than 1%, were exacerbated in the specific case of the Spanish selection, which would eventually close with transfers above 2% after the loss it found key support at the level of 10,000 points in beginning of the week.
This level was what separated the consolidating context from the corrective one, and its perforation now leaves the first level for monitoring in the short term 9750 points. “
This is a target that arises from forecasting the amplitude of the sideways movement that Capricorn has developed, between 10,300 and 10,000 points,” explains Joan Cabrero, technical analyst and strategist of the company ecotrader.
“I am afraid that a rebound even without reaching this support may be vulnerable, and a classic pullback or return to old supports, now resistance,” the expert warns, “so to talk about strength, the minimum required for Ibex to be able to close ” the last two bearish gaps he opened, to achieve which he must close at 10,000 and 10,077 points“.
While the first support zone currently emerging for the Ibex 35 is at 9,750 pips, the move to 10,000 pips at the start of the week suggests that the corrective context the index is currently facing could push quotes into that area. 9400/9450 points
which would represent a 61.80/66% correction of all the gains that occurred in November and December, as well as the extent of the bull trend resulting from the 2022 and 2023 lows connecting.
“Volume of territory 9400/9450 points I would see this as a new opportunity to buy the Spanish stock market with a medium/long-term orientation, since after this fall I still understand that the main bullish trend is likely to be re-established,” explains Cabrero.
“I will defend this bullish scenario as the most likely until the possible decline breaks through the October lows of the indicated level. 8879 points
where the stop and support can under no circumstances be lost if we want to continue to believe in the bullish context in the coming months,” the expert insists, commenting that in 9400/9450 points The risk-return equation could become more attractive than it has been in recent times.