Author: Deepashree MC

Won Europe Today

Posted on by Deepashree MC

On Friday,

  • European markets witnessed their strongest daily session in two months. Markets closed the week with a 1.1% gain, ending a four-week losing streak. The rally was driven by strong sectoral performances and easing geopolitical tensions. However, the euro weakened against the U.S. dollar following a significant decline in Eurozone’s business activity in November and Germany’s slower-than-expected economic growth in Q3. Investors are increasingly anticipating a rate cut in the European Central Bank’s upcoming meeting.
  • Among key movers in the Stoxx 600, shares of Games Workshop (GAW.GB; GAW:LN) rose around 17% after the miniature wargame maker delivered an upbeat trading outlook.
  • The Stoxx 600 gapped up almost 1.2%, retaking its 10- and 21-DMA. Near-term resistance is at its 200-DMA. We recommend a selective approach to adding names on a high-volume breakout or decisive retake of their key moving averages.
  • Most sectors closed higher, led by Health Care (+268bps), Retail (+238bps), and Utility (+194bps). Banks (-133bps) was the sole outlier.
  • Among major indices, France’s CAC 40 extended its positive momentum for a second session, closing 0.5% higher. The index has immediate resistance at its 10-DMA. Germany’s DAX 30 advanced 0.9%, reclaiming its 21- and 50-DMA on higher volume. The index traded above all its key moving averages. The U.K.’s FTSE 100 bounced 1.4% off its 21-DMA and retook its 50- and 100-DMA on higher volume. Resistance is at its early-November highs.
  • Denmark was shifted to a Confirmed Uptrend from a Rally Attempt after the index recorded a follow-through day. Belgium and Switzerland were shifted to a Rally Attempt from a Downtrend.
  • All the 16 indices we track closed in the green. Two are in a Confirmed Uptrend, one in an Uptrend Under Pressure, 12 in a Rally Attempt, and one in a Downtrend. The average distribution day count stood at eight.
  • Of the 30 European Focus List names, 28 ideas are trading above their 200-DMA, while 18 ideas are trading above their 50-DMA.
  • Actionable names in the Focus List include Safran (SGM.FR; SAF:FP), Technogym (TGYM.IT; TGYM:IM), Nemetschek (NEMX.DE; NEM:GR), Galderma Group (GALD.CH; GALD:SW), Bawag Group (BWGP.AT; BG:AV), Relx (REL.GB; REL:LN), Schneider Electric (QT@F.FR; SU:FP), Lottomatica Group (LOTG.IT; LTMC:IM), Talanx Aktgsf (TLXX.DE; TLX:GR), and Banco BPM (BP.IT; BAMI:IM).

Won Europe Today

Posted on by Deepashree MC

We released our Weekly Global Laggards Report today. Click here to access the 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 Savills (SVS.GB; SVS:LN), Beiersdorf (BEIX.DE; BEI:GR), TotalEnergies (FP.FR; TTE:FP), UPM-Kymmene (UPM.FI; UPM:FH), and Berkeley Group
(BKG.GB; BKG:LN).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 was up 53bps, while the Nasdaq was up 3bps, both on higher volume.
Indices have immediate support at their 21-DMA (5,887/18,807), 1% below current levels. Next support is at their rising 50-DMA
(5,803/18,401), ~2–3% below current levels. The distribution day count remains at six and one, respectively.

Won Europe Today

Posted on by Deepashree MC

Yesterday,

  • European markets closed slightly lower with investors exercising caution, still assessing the conflict between Ukraine and Russia. Key economic releases showed a stronger-than-expected rise in the U.K.’s inflation in October. In addition, a biannual review by the European central bank stated weak economic growth in Eurozone was now a greater risk to the bloc than high inflation.
  • Among key movers in the Stoxx 600, shares of Sage Group (SGE.GB; SGE:LN) were up around 19% after the British software company reported a better-than-expected rise in full-year operating profit.
  • The Stoxx 600 closed marginally lower, declining for a fourth consecutive session and marking its longest losing streak in the past two months. It faced resistance at its declining 10-DMA. We recommend a selective approach to adding names on a high-volume breakout or decisive retake of their key moving averages.
  • Among sectors, Mining (+62bps) and Health Care (+49bps) gained the most, while Automobiles (-123bps) and Retail (-52bps) led the losses.
  • Among major indices, France’s CAC 40 fell for a second straight session. It closed 0.4% lower, failing to reclaim its 10-DMA. Germany’s DAX 30 closed 0.3% lower. The index was facing resistance at its converging 10- and 50-DMA. The U.K.’s FTSE 100 declined 17bps. It was testing support at its 10-DMA, with near-term resistance at its 200-DMA.
  • Belgium and Switzerland recorded Day 1 of their Rally Attempt. Denmark, Italy, and Sweden marked Day 2 of their Rally Attempt.
  • Ten of the 16 indices we track closed in the red. One is in a Confirmed Uptrend, one in an Uptrend Under Pressure, eight in a Rally Attempt, and six in a Downtrend. The average distribution day count stood at eight.
  • Of the 30 European Focus List names, 28 ideas are trading above their 200-DMA, while 18 ideas are trading above their 50-DMA.
  • Actionable names in the Focus List include Safran (SGM.FR; SAF:FP), Technogym (TGYM.IT; TGYM:IM), Nemetschek (NEMX.DE; NEM:GR), Galderma Group (GALD.CH; GALD:SW), Bawag Group (BWGP.AT; BG:AV), Schneider Electric (QT@F.FR; SU:FP), Rheinmetall (RHMX.DE; RHM:GR), Lottomatica Group (LOTG.IT; LTMC:IM), Premier Foods (PFD.GB; PFD:LN), Talanx Aktgsf (TLXX.DE; TLX:GR), and Banco BPM (BP.IT; BAMI:IM).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P500 was flat, while the Nasdaq declined ~10bps, both on lower volume.
Indices are testing support at their 21-DMA (5,881/18,791), coinciding near previous highs, and have next support at their rising 50-DMA
(5,796/18,373), ~2–3% below current levels. The distribution day count remains at six and one, respectively.

Won Europe Today

Posted on by Deepashree MC

Yesterday,

  • European markets declined for a third consecutive session as investor sentiment soured amid rising geopolitical tensions. Russia issued a stark warning of potential nuclear retaliation following an overnight strike by Ukraine, which drove demand for low-risk assets like gold and the U.S. dollar. Banking stocks with significant exposure to Russia faced notable losses, leading the sectoral decline in an already weak market.
  • Among key movers in the Stoxx 600, shares of the German defense player Rheinmetall (RHMX.DE; RHM:GR) gained around 4% after the company announced a revenue target of €20B for 2027. Shares of CaixaBank (CABK.ES; CABK:SM) declined 5% after the bank presented its new 2025–2027 strategic plan.
  • The Stoxx 600 continued to face resistance at its declining 10-DMA. It was making a new three-month low, trading below all its key moving averages. We recommend a selective approach to adding names on a high-volume breakout or decisive retake of their key moving averages.
  • Most sectors closed in the red. Banks (-131bps), Travel and Leisure (-115bps), and Automobile (-105bps) led the losses. Health Care (+40bps) was the sole outlier.
  • Among major indices, France’s CAC 40 closed 0.6% lower and was testing resistance at its 10-DMA. Support is at its August 8 lows. Germany’s DAX 30 breached its 50-DMA on higher volume and closed 0.6% lower. Near-term support is at its 100-DMA. The U.K.’s FTSE 100 closed 0.1% lower, testing resistance at its 200-DMA.
  • Finland and Sweden were shifted to a Downtrend from a Rally Attempt as both indices hit a new low. Switzerland was shifted to a Downtrend from a Rally Attempt as the index breached its correction low. Italy was shifted to a Downtrend from an Uptrend Under Pressure as the index made a new low.
  • Fourteen of the 16 indices we track closed in the red. One is in a Confirmed Uptrend, one in an Uptrend Under Pressure, eight in a Rally Attempt, and six in a Downtrend. The average distribution day count stood at seven.
  • Of the 30 European Focus List names, 28 ideas are trading above their 200-DMA, while 18 ideas are trading above their 50-DMA.
    • Prysmian (PRY.IT; PRY:IM) was removed from the European Markets Focus List as the stock breached support along its 50- and 100-DMA on above average volume.
    • Rheinmetall (RHMX.DE; RHM:GR) was added to the European Markets Focus List as the stock broke out of a stage-three, 30-week consolidation base on above average volume into a new all-time high.
  • Actionable names in the Focus List include Safran (SGM.FR; SAF:FP), Technogym (TGYM.IT; TGYM:IM), Nemetschek (NEMX.DE; NEM:GR), Galderma Group (GALD.CH; GALD:SW), Bawag Group (BWGP.AT; BG:AV), Schneider Electric (QT@F.FR; SU:FP), Lottomatica Group (LOTG.IT; LTMC:IM), Premier Foods (PFD.GB; PFD:LN), Talanx Aktgsf (TLXX.DE; TLX:GR), and Banco BPM (BP.IT; BAMI:IM).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 gained 40bps on higher volume, while the Nasdaq was up 105bps on
lower volume. Indices closed just above their 10-DMA (5,912/18,930). Next support is at their 21-DMA (5,878/18,773), coinciding with
previous highs. The distribution day count remains at six and one, respectively.

Won Europe Today

Posted on by Deepashree MC

We released our European Weekly Summary yesterday. Click here to access the report. Key points from it include:

  • European stocks fell 69bps in the past week, marking a fourth consecutive week of decline. Friday’s move concluded a week of choppy trading as investors digested strong earnings from the Telecom and Energy sectors as well as macroeconomic data including 0.4% q/q growth in Eurozone’s GDP and political developments in the U.S.
  • Leadership is continuing to narrow, with the number of stocks breaking out declining to 355. The number of stocks trading near the pivot of their bases has now slumped to 2,037 from 5,144 in late August.
  • The number of failed bases is concerning, as it surged to 1,219, the highest level since early August when the index had declined as much as 479.8 (-4.63%).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq were up 40–60bps on mixed volume. Indices have
breached their 10-DMA (5,911/18,917) and are testing support at their 21-DMA (5,874/18,752), coinciding with previous highs. The next
key level of support is at the 50-DMA (5,780/18,302), ~2–3% below current levels. The distribution day count stands at six and one,
respectively.

U.S. Economic Summary

Posted on by Deepashree MC

Q3 GDP growth slowed down, 20bps below estimates: Per the advance estimate, the U.S. economy grew 2.8% y/y in Q3, 20bps below estimates and lower than 3% y/y growth in Q2. Personal spending grew the fastest since Q1 2023, driven by a 6% rise in consumption goods and a solid spending on services.
Government consumption rose around 5%, led by defense spending. Imports and exports rose, while residential fixed investment slowed down during the period_