Author: Deepashree MC

Won Europe Today

Posted on by Deepashree MC

On Friday,

  • European markets had a poor session, with 14 of the 16 indices that we track closing in the red. The key indices continued to face supply at their near-term resistance levels. Thirteen of the 16 indices are either in a Downtrend or a Rally Attempt. Hence, we recommend that investors remain cautious while adding new risks.
  • The Stoxx 600 continued to face resistance at its 200-DMA. France’s CAC 40 continued to trade below all its key moving averages. Germany’s DAX 30 faced resistance at its 21-DMA. The U.K.’s FTSE 100 declined ~1% and broke below its 200-DMA.
  • Among sectors, Basic Resources lost more than 4%, Oil & Gas fell 1%, and Personal Goods declined more than 3%. Real Estate and Travel & Leisure gained more than 1% while Health Care gained 0.7%.
  • Luxury stocks took a beating. Richemont (CFR.CH; CFR:SW) was down more than 6.5% while L’Oréal (OR@F.FR; OR:FP) fell more than 3%. Among other significant movers, FL stock Relx (REL.GB; REL:LN) gained 4% and Novo Nordisk (NON.DK; NOVOB:DC) rose 2%.
  • Actionable names in the Focus List include Technogym (TGYM.IT; TGYM:IM), DSV (DSV.DK; DSV:DC), Nemetschek (NEMX.DE; NEM:GR), Lottomatica Group (LOTG.IT; LTMC:IM), Relx (REL.GB; REL:LN), and Safran (SGM.FR; SAF:FP).

Won Global View

Posted on by Deepashree MC

The U.S. market is in a Confirmed Uptrend. The S&P 500 and Nasdaq advanced to all-time highs, gaining 4.7% and 5.7%, respectively,
for the week. The S&P 500 made new highs for the first week in four, while the Nasdaq closed above its July peak for the first time.
Support is at their 10-DMA (5,830/18,638). The distribution day count stands at five and one, respectively.

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 Symrise (SY1X.DE; SY1:GR), Bellway (BWY.GB; BWY:LN), Howden Joinery Group (HWDN.GB; HWDN:LN), Heineken (HB.NL; HEIA:NA), Tamburi Inv Partners (TIPS.IT; TIP:IM), Infineon Technologies (IFXX.DE; IFX:GR), and Deutsche Post (DHLX.DE; DHL:GR).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 gained 74bps yesterday and closed at a new all-time high. The Nasdaq
was up 151bps, also closing at a new all-time high. Support is at their 10-DMA (5,833/18,626). The distribution day count stands at six and
two, respectively, with one expiring on each index after the close today.

Won Europe Today

Posted on by Deepashree MC

Yesterday,

  • European markets ended lower as investors digested Donald Trump’s U.S. presidential election victory. Analysts anticipate that tariffs on European automobiles could significantly impact the European economy, while Trump’s stance on the NATO and Ukraine may weaken economic confidence indicators across the region, potentially pushing the bloc toward recession by the end of FY25. Investors now expect a higher likelihood of a 50bps rate cut by the European Central Bank at its December session in response to the election outcome.
  • Oil prices retreated following the U.S election results. Trump’s policies toward America’s oil and gas production can impact the global supply levels from the world’s largest crude oil producer.
  • Among key movers in the Stoxx 600, shares of the Danish energy company Vestas (VEW.DK; VWS:DC) declined more than 12%. Shares of German automakers like Mercedes Benz (MBGX.DE; MBG:GR) and BMW (BMW.DE; BMW:GR) were down around 6% on fears of import tariffs following Trump’s win in the U.S. presidential election.
  • The Stoxx 600 was down 0.5%, testing support at its mid-September lows. It is trading below all its key moving averages. 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 in the red, led by Utility (-257bps), Automobile (-236bps), and Food and Beverage (-160bps). Financial Services (+197bps) and Travel and Leisure (+153bps) were the only outliers.
  • Among major indices, France’s CAC 40 closed 0.5% lower and was trading below all its key moving averages. Germany’s DAX 30 fell more than 1% and breached its 50-DMA on strong volume. Next support is at its 100-DMA. The U.K.’s FTSE 100 traded flat and tested resistance at its 50- and 100-DMA.
  • Germany and Italy were shifted to a Downtrend from an Uptrend Under Pressure as both indices breached their 50-DMA.
  • Finland was shifted to a Downtrend from a Rally Attempt and Portugal was shifted to a Downtrend from an Uptrend Under Pressure after the indices recorded new lows.
  • Sweden and Spain recorded their fourth and seventh distribution day, respectively.
  • All the 16 indices we track closed in the red. Three are in an Uptrend Under Pressure, eight in a Rally Attempt, and five in a Downtrend. The average distribution day count stood at 5.6.
  • Of the 30 European Focus List names, 28 ideas are trading above their 200-DMA, while 17 ideas are trading above their 50-DMA.
  • Actionable names in the Focus List include Camurus (CAMX.SE; CAMX:SS), Technogym (TGYM.IT; TGYM:IM), DSV (DSV.DK; DSV:DC), Nemetschek (NEMX.DE; NEM:GR), Lottomatica Group (LOTG.IT; LTMC:IM), Relx (REL.GB; REL:LN), and Safran (SGM.FR; SAF:FP).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 gapped up 2.53% and closed at an all-time high. The Nasdaq gapped
up 2.95%, also breaking out to a new all-time high. Next support is at their 21-DMA (5,789/18,382). The distribution day count stands at six
and two, respectively, with one expiring on each index after Friday’s close.

Won Europe Today

Posted on by Deepashree MC

Yesterday,

  • European markets ended slightly higher, with gains in the industrial sector, as investors digested mixed earnings reports and focused on the U.S. presidential election. The Health Care sector weighed on the index, as AstraZeneca’s (AZN.GB; AZN:LN) shares hit an eight-month low, following reports of an alleged insurance fraud involving senior executives at its China unit. Expectations are now high for a 25bps rate cut at the Federal Reserve’s meeting on Thursday, following the 50bps reduction in September.
  • Among significant movers in the Stoxx 600, shares of the British asset management company Schroders (SDR.GB; SDR:LN) fell 13% after the company reported net outflow of client funds worth £2.3B. Shares of the Danish medical equipment maker Ambu B (AMB.DK; AMBUB:DC) lost around 9% after the company reported a miss in its Q4 FY24 results.
  • The Stoxx 600 closed flat and was testing resistance 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.
  • Among sectors, Mining (+94bps) and Travel and Leisure (+86bps) led the gains, while Automobile (-187bps) and Health Care (-176bps) lagged the most.
  • Among major indices, France’s CAC 40 gained nearly 0.5%, inching closer to resistance at its 10-DMA (+0.6%). Germany’s DAX 30 closed 0.6% higher after finding strong support at its 50-DMA. It has near-term resistance at its converging 10- and 21-DMA. The U.K.’s FTSE 100 was down 0.1% after gaining for two straight sessions. The index faced resistance at its 10-DMA after it failed to reclaim its 100-DMA.
  • The Stoxx 600, France, Finland, Switzerland, and the Netherlands were shifted to a Rally Attempt from a Downtrend. Denmark recorded Day 1 of its Rally Attempt.
  • Ireland was shifted to a Confirmed Uptrend from a Rally Attempt as the index recorded a follow-through day.
  • Portugal was shifted to an Uptrend Under Pressure from a Confirmed Uptrend after the index breached all its key moving averages.
  • Eleven of the 16 indices we track closed in the green. One is in a Confirmed Uptrend, six in an Uptrend Under Pressure, eight in a Rally Attempt, and one in a Downtrend. The average distribution day count stood at 5.6.
  • Of the 30 European Focus List names, 29 ideas are trading above their 200-DMA, while 19 ideas are trading above their 50-DMA.
  • Actionable names in the Focus List include Camurus (CAMX.SE; CAMX:SS), Technogym (TGYM.IT; TGYM:IM), DSV (DSV.DK; DSV:DC), Nemetschek (NEMX.DE; NEM:GR), Lottomatica group (LOTG.IT; LTMC:IM), Relx (REL.GB; REL:LN), and Swissquote ‘R’ (SQN.CH; SQN:SW).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 bounced off its 50-DMA and gained 123bps yesterday, retaking its 21-
DMA. Next resistance is at the recent high of 5,878. The Nasdaq was up 143bps on higher volume, also retaking its 21-DMA. However,
key support for both indices remains at the 50-DMA (5,706/17,973). The distribution day count stands at six and two, 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 markets have pulled back from near 52-week highs and are currently testing critical support levels near the 50- and 200-DMA. The Stoxx 600 is in a Downtrend and is facing resistance at its 200-DMA.
  • Financial was the only sector that posted gains last week. Other sectors, including Consumer Staple, Health Care, Energy, and Technology, declined between 2.5% and 2.7%.

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 declined 28bps on higher volume, registered its sixth distribution day
and closed right above its 50-DMA (5,703) support. The Nasdaq was down 33bps on lower volume and is 1% above its 50-DMA support
(17,958). The distribution day count stands at six and two, respectively.