The interview with De Marco, PUBLISHED:
Estimated reading time: 4 minutes
by Davide Pantaleo
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Interviews Ftse Mib Unicredit Intesa Sanpaolo Generali Unipol
For the Ftse Mib, the advice is not to be dazzled by very strong but short-lasting rebounds: this is what to expect according to Massimiliano De Marco.
Below is the interview with Massimiliano De Marco, technical analyst at Robotrend.com, with questions on the Ftse Mib index and some blue chips.
The Ftse Mib reacted from a level of 21,000: do you think a bottom has been reached from which to start again or are new falls beyond the indicated threshold possible?
The bearish move speculated last week has extended faster than expected, but there is still no sign of an impulsive reaction, despite Monday’s gap down low looking quite “climatic”.
The following rise, albeit steep like all bear market rebounds, appears to be corrective and prelude for the Ftse Mib to a new test in the 21,000 area.
It is difficult to give a target to an index in free fall due to an external event, the consequences of which are not yet calculable, but falling below 19,500 points would create significant damage to the medium-long term bullish structure.
After the recent collapses, are Unicredit and Intesa Sanpaolo attractive or is it too early to evaluate purchases?
Unicredit first reported the possible reverse with divergence at the maximums between price and oscillators, and then broke the trendline at 11.5 euros without too much hesitation.
The latter had been supporting the courses for months and could become the target of a backtest in the event of an extension of the rebound.
Quote 8 euros for Unicredit is the last bulwark towards a review of the minimum of 6 euros.
Intesa Sanpaolo also went far beyond the price expectations, so we imagined a share of 2 euros, certainly not in a week.
Falling below the 61.8% retracement of the rally from Covid lows jeopardizes the entire bullish outlook.
Net of rebounds, if Intesa Sanpaolo broke the € 1.65 share, it would target the minimum of € 1.3.
How do you assess the current approach of Generali and Unipol and what strategies can you suggest for both?
Generali broke the range in which it had been imprisoned for weeks, actually not in the expected direction.
Like the index, the stock is in a climax phase and the rebound does not appear capable of preventing the achievement of a new low.
The important level for the long term is € 14.40, below which far more bearish scenarios would open.
Unipol has for years been in a very wide lateral range between 2.6 and 2 euros and a few extensions to 1.6 euros.
Also this time, reaching the upper end of the range did not have the strength for a breakout, and it is therefore conceivable that it is heading towards one of the other two support levels.
Which stocks are you following most closely in this market phase? Which ones do you recommend to look at now?
Right now, as for two weeks now, the advice is not to be dazzled by very strong but not very long-lasting rebounds, as always happens in bear markets (and this, albeit fast, in effect it is).
I would wait for the formation of a more lasting low, with the risk of losing the “perfect” entry.
As the old adage goes, catching falling knives is left with bloody hands.
Trend-online Deputy Director, born in 1978.
After completing his studies at the Classical High School “Antonio Calamo” of Ostuni I entered the world of economics.
For about twenty years I have been dealing with Stock Exchange and Finance. After having worked as a financial promoter for several years, in 2005 I joined the Trend-online team as an editor, to later become deputy director of the cylinder head. Among other countless activities, I take care of maintaining relationships with all the experts, analysts and traders, consulted daily by Trend-online.
My motto is? “Life is like a mirror, if you look at it smiling it will smile at you”.