IBEX 35 Futures Forecast October 26, 2012, Technical Analysis

The IBEX fell during most of the session on Thursday in order to test the €7600 level for support. There was a nice bounce at that point time, and by the end of the day we had formed a nice-looking hammer. If the market gets above the €7800 level, I believe that the market will race back towards the €8200 level. This is a nice consolidation zone, and the fact that we formed a hammer just above the €7600 level suggests to us that this is simple consolidation after a nice move higher. Looking forward, we would prefer to buy this market as opposed to sell it, but if we get below the €7600 level we would be forced to be short of this market as it is the epicenter so many problems.

 

IBEX 35 Futures Forecast October 26, 2012, Technical Analysis
IBEX 35 Futures Forecast October 26, 2012, Technical Analysis

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