Ichimoku Update Spain Stock market Jan 23, 2016
Figure 1 shows the eSignal Monthly Ichimoku chart for the Spain Stock Composite $IBC-MAC. In the last couple of updates, we have been talking about how price has a high probability of reaching the support at 9061.54.
Price reached the support and broke it SO FAR. Remember, this is a monthly chart so we have to wait to the end of the month to see if the support has broken. Let’s examine the lower time frame to see if price will remain below this value and also if price can get below the cloud to change sentiment to be bearish.
Figure 1a: eSignal Ichimoku Monthly chart of Spain Stock market Jan 3, 2016
Figure 1b: eSignal Ichimoku Monthly chart of Spain Stock market
Figure 2 shows the eSignal Ichimoku Weekly chart for the Spain Stock market. The weekly time frame is bearish trend and indicating that price will remain below the monthly support of 9061.54. The resistances are quickly moving downward to this value to hold it.
Figure 2a: eSignal Ichimoku Weekly chart of Spain Stock market Jan 3, 2016
Figure 2b: eSignal Ichimoku Weekly chart of Spain Stock market
Figure 3 shows the Daily time frame for the Spain stock market. The daily is supporting the weekly/monthly time frame. The bearish trend was over extended and now going through a healthy pull back.
The daily resistance is now at the monthly value at 9061.54. Therefore, this is now a multiple time frame resistance.
Figure 3a: eSignal Ichimoku Daily chart of Spain Stock market Jan 3, 2016
Figure 3b: eSignal Ichimoku Daily chart of Spain Stock market
In summary,due to this MTF level, there is high probability of retesting the low and continue to go lower. If price get below the monthly cloud, the sentiment will change to bearish.
Spain Trade Analysis MAP-MAC: Mapfre
As the Spain stock market has been bearish, we have analyzing MAP-MAC in a bearish trade. Figure 4 shows the chart for MAP-MAC, Spain stock. We stated in the previous blog, there was a high probability of testing 2.26. We broke this level and continued to move down. The move was soo strong that we had to move to the monthly time frame to find the supports.
The price is now below the monthly cloud so the long term sentiment is now bearish.
Figure 4a: eSignal Ichimoku Daily chart of MAP-MAC Jan 3, 2016
Figure 4b: eSignal Ichimoku Monthly chart of MAP-MAC
Below is Ichimokutrade Heatmap table for all the major stocks in the Spain Stock market (Table 1). Based on the heatmap from Jan 3, a lot of the greens for the higher time frame are now red or white. This is due to the fact that the market has moved into the cloud on the monthly time frame.
The instruments that still have a green on the monthly time frame are trying to resist this downward movement for the overall market. For those stocks, the downward movement is a pull back compared to consolidating or bearish trending.
Table 1a: Ichimokutrade heatmap table for Spain Stock market Jan 3, 2016
Table 1b: Ichimokutrade heatmap table for Spain Stock market
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