Mexican Bolsa IPC 12/05/2016
At the end of March we recommended taking a bearish position in the Mexican IPC index. Since then it has consolidated and formed a symmetrical triangle with current price at breakeven from our entry.
While this formation could well be resolved to the upside putting in danger our current position, we are weighting more the price action on the weekly chart which shows an engulfing bearish at the top of the consolidation and consider that recent price action is a test of the pattern; therefore we maintain our bearish bias on the index.
Analyst: Victor Campos, CFA.
Source: LATAMPM with Tradingview.com data. Prices as of May, 10, 2016.
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