IBEX Short Term EWP Update
Even if you don´t trade IBEX I suggest to follow it during the next 2 weeks since it will give us clues regarding the longevity of the Equity indices counter trend rebound which began at the June 6 lows.
Why 2 weeks?
Because during the week of the 4th of July US holiday the equity market usually has a bullish bias therefore price could complete the corrective rebound the following week.
Following the long-term scenario I have posted yesterday price should be involved in unfolding a counter trend rebound wave (B).
Judging for the internal structure of the move from the June 6 low, in my opinion, it is reasonable to expect a Double Zig Zag; hence price is now unfolding the wave (A) of the second Zig Zag.
The equality extension target for the wave (Y) is at 7484.
In the next daily chart I have highlighted a potential target box for the wave (B) in the range 7305-7505.30
The next resistance zone is at 7184-7186
There is a caveat that warns some caution since today´s candlestick is already above the upper BB; hence, I think that it is reasonable to expect a pullback at the beginning of next week.
Have a great weekend