The IBEX 35 is quoted in the surroundings of 13,875 points, which represents a setback of -2.61% compared to the closing of last Friday. This descent acquires special relevance, since the weekly candle is testing The first bullish gapwhich works like Technical support in the 14,105 points zone. In addition, pressure on Another key level: The weekly minimums of May 19located in the 13,850 points; A closure below this level could have relevant technical implications, since it would activate additional weakness, both in form and in time, accentuating the lateral consolidation phase that the index has shown during the last three to four weeks.
The current weekly candle also reflects an increase in volatility and anticipates an increase in negotiation volume, all in a context where overcompra readings remain extreme, especially if we look at indicators such as the weekly MACD, which we have been repeated repeatedly in our latest reports.
If a weekly closure occur below 13,850 points, we could be facing the start of a short -term correctionsomething that from our perspective would not be negative. On the contrary, we would consider it as a movement necessary and healthy to relieve excessive overcompra accumulated in previous weeks.
If we project proportional fibonacci setbacks on the last bullish section initiated in the minimum of April, we find possible objective areas for a technical correction around the 13.300 and the 12,980 points for Ibex 35corresponding to 38,2%of recoil of the most recent impulse.
Access the full analysis of the basket of values that make up the IBEX 35