In Europe it was a difficult new session. All stock exchanges went red, and Piazza Affari today was among the worst. The nightmare of a generalized freeze of assets weighs on the entire European equity sector. It is no coincidence that the three worst lists were those of Milan, Paris and Madrid. The three capitals seem to be the ones most affected by the nightmare of the new wave of the coronavirus.
Here is the analysis of the day of Piazza Affari of the Experts of ProiezionidiBorsa.
Difficult sitting for Piazza Affari beyond the minus sign
The Ftse Mib index (INDEX:FTSEMIB) closed 1.5% lower at 18,654 points. This data contains a positive and a negative element. The positive is that prices have stopped at a support area. This means that at least for today the descent has been contained.
The negative data is that the index is at the lows of the last 6 months. In the area of 18,500 / 18,600 points, a line passes under which Piazza Affari could quickly drop, returning to 18 thousand points and then continuing to 17 thousand. If the conditions of the pandemic do not improve, but rather worsen, in Italy as in Europe, the decline could be inevitable.
The main price lists on the edge of an abyss
Today the Milan Stock Exchange has stopped on the edge of a ravine, but the other European Stock Exchanges are also no better off. The analysis of the pan-European Euro Stoxx 50 index reveals that prices are also at the lows of the last six months. And they are close to the 3,050 / 3,100 points area, below which prices could plummet to 2,800 points.
The German Dax index itself has a threshold below which prices could fall to 10,800 points in the 12 thousand euro area. And the condition does not change even for the Paris and London stock exchanges.
The European stock exchanges are all linked to this fate
The price lists of the Old Continent are conditioned by the evolution of the pandemic and by the trend of the US Stock Exchange, which is now an uncertain game. This is why the European stock exchanges are all linked to this destiny. Only a pandemic under control, the avoidance of the total freeze of activities and a US stock market rising again, can make the indices turn positive.
This week we will have to suffer.
Deepening
To know the multidays analysis and the point of view of the international markets of the ProiezionidiBorsa Study Office, click who.
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