Sunday, August 14

Inditex: Must recover to medium-term support

The price of Inditex it gives strong positions in the short term, a movement supported by extensive trading activity that generates readings of bulky oversold accumulated in momentum oscillators such as the MACD.

In this sense, recently the price has shown itself unable to resolve upwards, in an attempt to recover positions, its 200-period simple moving average or long-term, which is currently acting as dynamic resistance, a weakness that outlines a next bearish cross. between its medium and long-term moving averages.

For this reason, we will not begin to see signs of recovery in the short term until the Inditex price fails to settle above 29.89 euros per share, so that in the meantime, it maintains the threat to the viability of the trading area. Secondary or medium-term support that we project from 27.74 / 26.99 euros per share and, the violation of which would enable us to attack its bottom upward guideline, with a target of around 25.14 euros per share.

Inditex on daily chart with average amplitude range (upper central window), MACD (lower central window) and trading volume (lower window)

Inditex on daily chart with medium and long-term analysis template

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