Banks knock down the Ibex 35 in June which yields 3.58%

Banks knock down the Ibex 35 in June which yields 3.58%

The IBEX 35 has closed a bad month of June, falling 3.58% and closing at 8,821 points after losing 1.68% on Friday to 8,765.

European indices made modest gains in June with the exception of the FTSE MIB Italian who has lost 0.27%:

European indices: monthly variationEuropean indices: monthly variation

European indices: monthly variation

On the one hand, the Spanish banking sector has suffered greatly, among other factors from the decline in bond yields, the German 10-year bond has fallen to a yield of – 0.215 from the yield of – 0.146 on June 22.

The falls of Spanish banks have been strong this month, from almost a 6% drop in June for Banco Santander, to 9.62% for Bankinter. Only BBVA has been saved, which has risen 1.79%, closing at € 5,228.

Ibex banks: monthly variation June 2021Ibex banks: monthly variation June 2021

Ibex banks: monthly variation June 2021

But the falls have also accompanied the banks other strong values ​​of the Spanish selective such as Inditex –6.25% or Iberdrola – 6.50%.

Companies linked to the tourism sector have also suffered greatly from the growing fears of the expansion of the delta variant of Covid, it is worth highlighting the fall of IAG (Iberia), the largest of the IBEX 35 by 14.78% and Melia Hotels a 9.77%.

Technical situation

For the IBEX 35 it has become complicated, on the monthly chart it has formed a bearish envelope that could give some scare.

Ibex 35 monthly chartIbex 35 monthly chart

Ibex 35 monthly chart

If we look at the index from the weekly perspective, it can be seen that the candle has closed below the 200 session average (SMA200), which is not a good sign either, although the SX7R and SX7E banking sectors, despite the correction, have managed to close the week above the SMA200.

Another aspect that I also do not like is that the stochastic is coming out of overbought.

Ibex 35 weekly chartIbex 35 weekly chart

Ibex 35 weekly chart

On the daily chart there has been a confirmed bearish turn.

Will it continue to fall?

There is a clear support at 8,740 that could stop the fall and also at 8,693 is the Fibonacci retracement of 38.2%, that is, it could have concluded or be about to conclude a correction but unfortunately it is not yet clear if it has already concluded or not.

Ibex 35 diariol chartIbex 35 diariol chart

Ibex 35 diariol chart

The 10 best and worst of the Ibex in June:

The 10 best and worst of the Ibex in JuneThe 10 best and worst of the Ibex in June

The 10 best and worst of the Ibex in June

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