The Ibex and the rest of Europe rebound: the selective moves away from the support of 9,025

"The trade dispute between the US and China took an interesting turn yesterday when Beijing threatened to restrict exports of rare minerals to the US These metals are used in many different industries, such as electronics, oil refining and renewable energy. It represents approximately 70% of the world's production of these minerals, the mere fact that China has played that card highlights the seriousness of the situation, the European and US equity markets suffered heavy losses as a result of the news, and commercial tensions have reached new heights, the Trump administration will have to carefully consider its next move, "explains David Madden, an analyst at CMC Markets in London.

China still doesn't bow down to US pressure. Recently the deputy foreign minister of the country, Zhang Handhui, has assured that deliberately causing commercial disputes amounts to a "clear economic terrorism", in the middle of the growing commercial war.

In the middle of all this, the Ibex tries to get away from the support of 9,025 points, which is still too close. If it loses it, it could go to 8,800 points, after stopping at the intermediate support of 8,940 points. The Bolsamanía experts highlight the fact that the Dow Jones is below the support of 25,200 points and the S & P 500 below the 2,800 points. "We look to the activation of new corrective signals on the other side of the Atlantic as a result of the confirmation of several 'head and shoulders' that can perfectly lead to US indices dropping 5%", warns José María Rodríguez, Bolsamanía expert.

COMPANY BY COMPANY

Regarding the Ibex, investors remain very aware of the behavior of banks, although today they move upwards. And Santander, which lost support again this Wednesday, managed to close at 4 euros and today is up 1.3%. BBVA also rises 1.7% and is respecting the minimum supports.

Cellnex is once again at the head of the Ibex. The company rises over 4% amidst the information that BlackRock has increased its share to 5.96% from the previous 4.95%. For its part, the manager Millenium Group has declared a participation of 1.59%.

Ence, after falling another 4% yesterday, on the other hand, rebounds (0.85%). As for the steelmakers, Bolsamania experts recognize that 'there is nowhere to go', as well as the automotive sector, pressured by all the uncertainties related to tariffs to large European producers. Today ArcelorMittal and Acerinox are trading positive.

And in negative, only 5 values. The two real estate companies of the selective, Merlin and Colonial, lead the declines with falls of 0.7% and 0.5% respectively. For its part, in the continuous market, it should be noted that Natra shoots 11% after the improvement of the public offering of Investindustrial to 1 euro compared to the previous 0.90 euros, and 1,000 euros for each convertible share, in contrast to the initial 900 euros, all payable entirely in cash. The rest of the characteristics of the offer are not modified.

From the macro point of view, Spain's CPI drops seven percentage points in May, to 0.8%. On the other hand, retail sales accelerated their growth in April to 2%. In addition, the GDP of the first quarter of the United States is published today.

TECHNICAL ANALYSIS

"Rebounds in the penultimate session of the week without much conviction. We have just filled in part of the bearish hole (resistance) from this Wednesday and a little more. In the last month we have left the odd bearish gap (resistance) that has been totally or partially filled, but in no case have they been closed, or what is the same thing canceled, "explains José María Rodríguez.

He adds, that "it gives us an idea of ​​the weakness of our index". Now "we have to look at the 9,025 points below (support) and last week's maximums as resistance to beat (9,335), and everything that happens within this price range will have no implications whatsoever. The control zones are what they are ".

It also aims to be "very careful to not drill the support of 9,025 points, because underneath we would have in principle the confirmation of a new bearish lash that could end up nearing the 8,800 points area." Meanwhile, we keep looking at Wall Street and to the lost support (now resistance) of the 2,800 points of the S & P 500. We don't think that the rebound of this Thursday will be a simple 'pull back' to catch the run downwards ".