SPAIN IBEX 35 AND ITALY MIBTEL

Both Italy and Spain are holding above their 200 day moving averages. After bottoming in mid-2012, both indices have formed higher highs and higher lows. Lower boundary of  short/medium-term trend channels and the 200 day averages are overlapping at recent low levels and strengthening support levels for both indices. As long as Italy’s MIBTEL holds above 15,600 and Spain’s IBEX 35 above 7,900, we will expect the uptrends to resume.