We released our Weekly Global Laggards Report today. Click here to access the full report. The stocks highlighted in this report are laggards relative to their own domestic markets. We recommend that they be underweighted as they may be vulnerable to further downside risk and underperformance. European stocks include Brenntag (BNRX.DE; BNR:GR), Bellway (BWY.GB; BWY:LN), and Castellum (CAST.SE; CAST:SS).
Author: Deepashree MC
Won Global View
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq were up ~55–75bps on higher volume. Indices have
strong support at their rising 10-DMA (6,248/20,599), followed by their 21-DMA (6,184/20,304). The distribution day count stands at four
and three, respectively, after one day expired on the S&P 500 yesterday after market close. One day is set to expire on each index on
Monday and Friday after market close, respectively.
Won Europe Today
Yesterday,
- European markets extended their losses amid speculations that the U.S. President may dismiss the Federal Reserve Chair Jerome Powell. Sentiment was further weighed down by a warning from Dutch chipmaker ASML (ASML.NL; ASML:NA) on weaker revenue growth estimates, which dragged down the semiconductor sector. In addition, the U.K.’s inflation for June came in higher than expected, which further added to market uncertainties.
- The Stoxx 600 declined for a fourth consecutive session and breached support at its 21-DMA, closing 0.6% lower. Next support is at its 100-DMA. We recommend a selective approach to adding names on a high-volume breakout or decisive retake of their key moving averages.
- Among significant movers on the Stoxx 600, shares of Dutch chipmaker ASML (ASML.NL; ASML:NA) closed 11.4% lower after the company issued a negative revenue and earnings growth outlook for FY26, despite reporting better-than-expected Q2 FY25 bookings. Meanwhile, shares of German lubricant supplier Fuchs (FPEX.DE; FPE:GR) fell more than 10% as the company’s Q2 FY25 earnings missed estimates.
- Most sectors closed in negative territory, with Technology (-234bps) and Automobile (-231bps) leading the losses. Telecommunications and Financial Services were the only gainers, both closing 17bps higher.
- Among major indices, France’s CAC 40 lost almost 0.6% and broke below support at its 50- and 100-DMA. Next support is at its 21-DMA. Germany’s DAX 30 marked its fifth day of losses, closing 0.4% lower. The index has near-term support at its 21- and 50-DMA. The U.K.’s FTSE 100 extended its losses for a second straight session, closing 0.1% lower. Next support is at its 10-DMA.
- Germany, Finland, Sweden, Austria, and Italy recorded a distribution day each. Germany and Finland increased their distribution day count to five and four, respectively.
- Sweden was moved to an Uptrend Under Pressure from a Confirmed Uptrend as the index breached its 100-DMA. Belgium and the Netherlands were downgraded to a Downtrend from an Uptrend Under Pressure as the indices breached their 50- and 100-DMA, respectively.
- Spain recorded Day 1 of its rally attempt, while Denmark made a new low.
- Thirteen of the 16 indices we track closed in the red. Seven are in a Confirmed Uptrend, three in a Rally Attempt, two in an Uptrend Under Pressure, and four in a Downtrend. The average distribution day count stands at 2.67.
- All 24 European Focus List names are trading above their 200-DMA, while 20 ideas are trading above their 50-DMA.
- Actionable names in the European Focus List are Galderma (GALD.CH; GALD:SW), Swissquote ‘R’ (SQN.CH; SQN:SW), Alk-Abello B (ALK.DK; ALKB:DC), Wise A (WISE.GB; WISE:LN), Lottomatica (LOTG.IT; LTMC:IM), Nemetschek (NEMX.DE; NEM:GR), Bawag Group (BWGP.AT; BG:AV), Medacta (MOVE.CH; MOVE:SW), and Medicover B (MEDI.SE; MCOVB:SS).
Won Global View
The U.S. market remains in a Confirmed Uptrend. Indices staged a notable upside reversal after briefly falling below their 10-DMA to
end near session highs on higher volume. The S&P 500 closed 32bps higher, while the Nasdaq was up 25bps. The first level of support is
at their rising 10-DMA (6,237/20,535), followed by their 21-DMA (6,172/20,246). The distribution day count remains at five and three,
respectively, with two days set to expire on the S&P 500 today and Monday after market close.
Won Europe Today
Yesterday,
- European markets extended their losses, weighed down by weakness in financial and healthcare stocks. Brief optimism around a potential U.S.-EU trade deal faded after U.S. inflation data showed a sharper-than-expected rise in June, hitting a five-month high and dampening investor sentiment.
- The Stoxx 600 declined for a third consecutive session and breached support at its 10- and 50-DMA. Next level of support is at its 21-DMA. We recommend a selective approach to adding names on a high-volume breakout or decisive retake of their key moving averages.
- Among significant movers on the Stoxx 600, shares of Swedish telecom group Ericsson B (SL@G.SE; ERICB:SS) fell more than 7% after the company warned about tariff pressures impacting its margin growth. Meanwhile, shares of U.K.’s largest homebuilder Barratt Redrow (BTRW.GB; BTRW:LN) declined more than 9% after the company missed FY25 estimates for one of its KPIs.
- Most sectors closed in negative territory, with Banks (-395bps) and Travel and Leisure (-284bps) leading the losses. Technology (+81bps) was the only sector that recorded gains.
- Among major indices, France’s CAC 40 closed 0.5% lower, recording a third straight session of losses. The index broke below support at its 10-DMA. It is testing support at its converging 50- and 100-DMA. Germany’s DAX 30 declined for a fourth consecutive session, closing 0.4% lower. It breached its 10-DMA and has near-term support at its 21- and 50-DMA. The U.K.’s FTSE 100 was down 0.7%. However, the index remained near its all-time high, above all its key moving averages.
- Spain recorded its fifth distribution day and was downgraded to a Downtrend from an Uptrend Under Pressure. Denmark marked its second distribution day and was shifted to an Uptrend Under Pressure from a Confirmed Uptrend.
- Ireland recorded Day 1 of its Rally Attempt.
- Thirteen of the 16 indices we track closed in the red. Eight are in a Confirmed Uptrend, three in a Rally Attempt, three in an Uptrend Under Pressure, and two in a Downtrend. The average distribution day count stands at 3.1.
- All the 24 European Focus List names are trading above their 200-DMA, while 21 ideas are trading above their 50-DMA.
- Actionable names in the European Focus List are Galderma (GALD.CH; GALD:SW), Swissquote ‘R’ (SQN.CH; SQN:SW), Alk-Abello B (ALK.DK; ALKB:DC), Wise A (WISE.GB; WISE:LN), Lottomatica Group (LOTG.IT; LTMC:IM), Nemetschek (NEMX.DE; NEM:GR), Bawag Group (BWGP.AT; BG:AV), and Medicover B (MEDI.SE; MCOVB:SS).
Won Global View
The U.S. market remains in a Confirmed Uptrend. The S&P 500 declined 40bps on higher volume and registered a distribution day,
while the Nasdaq was up ~20bps on higher volume. Indices closed at session lows after making a new intraday high. They have strong
support at their rising 10-DMA (6,232/20,492), followed by their 21-DMA (6,163/20,198). The distribution day count stands at five and
three, respectively, and one day will expire on the S&P 500 tomorrow after the close.
Won Europe Today
We released our European Weekly Summary yesterday. Click here to access the full report. Key points from it include:
- Most European markets witnessed gains in the previous week and are trading above their near-term moving averages. We remain constructive on the European markets as indices continue to consolidate near their 52-week highs.
- Sector performance was positive. Transportation, Consumer Cyclical, and Capital Equipment led the gains. Utility, Consumer Staple, and Health Care were the underperformers.
Won Global View
The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq were up ~15–25bps on mixed volume. The first level of
support is at their rising 10-DMA (6,229/20,451), followed by their 21-DMA (6,155/20,150). The distribution day count remains at four and
three, respectively, with one day set to expire on the S&P 500 this week.
Won Europe Today
On Friday,
- European markets ended lower, pressured by declines in banking and healthcare stocks, capping a week dominated by fresh U.S. tariff announcements. Global risk appetite weakened after the U.S. unveiled a 35% tariff on Canadian imports starting August 1 and proposed raising general import tariffs to 15–20% from the current 10%. The EU is awaiting official communication on potential levies.
- The Stoxx 600 snapped its four-day winning momentum and closed 1% lower. The index is currently above all its key support levels and has near-term support at its converging 10- and 50-DMA. We recommend a selective approach to adding names on a high-volume breakout or decisive retake of their key moving averages.
- Among significant movers on the Stoxx 600, shares of Norway’s largest bank DNB (DNB.NO; DNB:NO) declined around 9% after the company reported lower-than-expected Q2 earnings, hit by weaker-than-expected interest income and higher loan losses.
- Most sectors traded in negative territory. Health Care (-261bps) and Banks (-188bps) led the losses. Energy (+83bps) was the only sector that posted gains.
- Among major indices, France’s CAC 40 closed almost 1% lower after advancing in its previous four sessions. The index is testing support at its converging 10- and 100-DMA. Next support is at its 50-DMA. Germany’s DAX 30 marked its second consecutive session of losses, closing 0.8% lower. It has near-term support at its 10-DMA, followed by its 50-DMA. The U.K.’s FTSE 100 closed 0.4% lower after recording gains in its last four sessions. The index is above all its key support levels.
- Finland and Ireland recorded their third and fourth distribution day, respectively. Denmark logged in its first distribution day.
- Spain breached its 50-DMA.
- All the 16 indices we track closed in the red, except Norway. Nine are in a Confirmed Uptrend, three in a Rally Attempt, and four in an Uptrend Under Pressure. The average distribution day count stands at 3.09.
- All the 24 European Focus List names are trading above their 200-DMA, while 22 ideas are trading above their 50-DMA.
- Actionable names in the European Focus List are Alk-Abello B (ALK.DK; ALKB:DC), Galderma (GALD.CH; GALD:SW), Swissquote ‘R’ (SQN.CH; SQN:SW), Lottomatica Group (LOTG.IT; LTMC:IM), Nemetschek (NEMX.DE; NEM:GR), Bawag Group (BWGP.AT; BG:AV), and Medicover B (MEDI.SE; MCOVB:SS).
Won Global View
The U.S. market remains in a Confirmed Uptrend. On Friday, the S&P 500 and Nasdaq declined 22–33bps on lower volume, closing
slightly below all-time highs. The first level of support is at their rising 10-DMA (6,220/20,409), followed by their 21-DMA (6,144/20,101).
The distribution day count stands at four and three, respectively, after one day expired on each index after Friday’s close.
