Mexico City Earthquake Doesn't Stop Tepid IPC Index Rally
Candy Matheson | Sep 20, 2017 12:01AM ET
Notwithstanding a rally in the Mexican Bolsa IPC Stock Index since it broke above a large, lengthy consolidation zone in mid-2016, only to retest that break at the end of the year, then rise (tepidly) to is current price of 50,265, the momentum and rate of change technical indicators have been flat since January 2013, as shown on the following Monthly chart.
The Weekly chart below also shows renewed weakening momentum and rate of change since the beginning of 2016, in spite of this attempted rally breakout.
Near-term major support sits at 45,000...medium-term at 40,000...and longer-term support at 30,000. These are important levels in the face of a new 7.1 major earthquake that struck yesterday near Mexico City, as reported below (the death toll continues to mount as the day wears on), especially since the rally above its congestion zone has been weak.
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