This technique chart named Diamond Bottoms usually indicates a trend change. In this case the downward trend changes to upward trend.
The breakdown of the figure was given on Friday 23 and enables a hike up to 1.220 points (Maximum of April).
The time, it must reach the point C (1.220 pts) in approximately two to three months.
More information:
- The probability of a Pullback is 71%
- One of the figures with the highest probability of achieving their goals (especially when the break is down, which is not the case.) In the case of break to the upside -the case we are discussing- has a historical failure rate of 13%.
I have talked about a prolonged period of rising. Is this figure predicting this rise?
Are we at the beginning of a prolonged rally?
Probably. (There are also other analisis that predict the same.)
The important note for Mexico, remember that the IPC has been a mirror (in movements) of the Standard and Poor's.
If we have confirmation of this movement, it can be the start of interesting period for profits, be alert to take advantage well.
Diamond Bottoms SPX
