Author: Deepashree MC

Won Europe Today

Posted on by Deepashree MC

Yesterday,

  • European markets ended higher, boosted by gains in renewable energy stocks, after the U.S. budget bill cleared a key vote. However, concerns around U.K. finances resurfaced as the British assets fell following the government’s retreat on welfare reforms. Investors also remained focused on potential U.S. trade deals ahead of the July 9 tariff deadline.
  • The Stoxx 600 closed 0.2% higher, reversing its earlier losses. It has found support at its 100-DMA, with near-term resistance at its 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 Danish windmaker Vestas Wind Systems (VEW.DK; VWS:DC) rallied more than 10% on positive momentum among European renewable energy companies following the revised budget bill in the U.S.
  • Among sectors, Mining (+332bps) and Automobiles (+166bps) led the gains, while Retail (-182bps) and Utility (-133bps) lagged the most.
  • Among major indices, France’s CAC 40 reclaimed its 21- and 50-DMA after finding support at its 200-DMA and closed 1% higher. Next resistance is at its 100-DMA. Germany’s DAX 30 was up 0.6%, advancing from support at its 50-DMA, and closed above its 21-DMA. It was trading above all its key moving averages. The U.K.’s FTSE 100 closed 0.2% lower, with immediate support at its 10-DMA.
  • Denmark recorded Day 2 of its Rally Attempt.
  • All the 16 indices we track closed in the green, except the U.K. and Belgium. Four are in a Confirmed Uptrend, six in an Uptrend Under Pressure, five in a Rally Attempt, and one in a Downtrend. The average distribution day count stands at 3.7.
  • All the 23 European Focus List names are trading above their 200-DMA, while 16 ideas are trading above their 50-DMA.
  • Actionable names in the European Focus List are Alk-Abello B (ALK.DK; ALKB:DC), Odfjell Drilling (ODDR.NO; ODL:NO), Safran (SGM.FR; SAF:FP), Medicover B (MEDI.SE; MCOVB:SS), and Bawag Group (BWGP.AT; BG:AV).

Won Europe Today

Posted on by Deepashree MC

Yesterday,

  • European markets closed lower as weakness in Industrials and Banks weighed on sentiment amid growing uncertainty around U.S. trade deals and tax policy ahead of the July tariff deadline. Meanwhile, Eurozone’s inflation inched up to 2% in June, aligning with the ECB’s target and slightly above 1.9% in May.
  • The Stoxx 600 closed 0.2% lower, recording losses for a second consecutive session. The index breached support at its 50-DMA and is currently testing support 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 Belgium-based metal recycling group Umicore (UMI.BE; UMI:BB) rose 12% after the company raised its full-year profit estimates.
  • Among sectors, Food and Beverage (+138bps) and Health Care (+120bps) were the top gainers, while Banks (126bps) and Technology (-109bps) led the losses.
  • Among major indices, France’s CAC 40 reversed early session losses after finding support at its 10-DMA. The index closed almost flat, slightly above its 200-DMA. Immediate resistance is at its 21-DMA. Germany’s DAX 30 extended its losses for a second straight session, closing 1% lower. The index breached its 21-DMA. Support is at its converging 10- and 50-DMA. The U.K.’s FTSE 100 closed 0.3% higher, slightly above its 10-DMA. Immediate resistance is at its 21-DMA.
  • Eleven of the 16 indices we track closed in the red. Four are in a Confirmed Uptrend, five in a Rally Attempt, one in a Downtrend, and six in an Uptrend Under Pressure. The average distribution day count stands at 3.7.
  • All the 23 European Focus List names are trading above their 200-DMA, while 15 ideas are trading above their 50-DMA.
  • Actionable names in the European Focus List are Alk-Abello B (ALK.DK; ALKB:DC), Odfjell Drilling (ODDR.NO; ODL:NO), Safran (SGM.FR; SAF:FP), Medicover B (MEDI.SE; MCOVB:SS), Sap (SAPX.DE; SAP:GR), and Bawag Group (BWGP.AT; BG:AV).

Won Global View

Posted on by Deepashree MC

The U.S. market is in a Confirmed Uptrend. The S&P 500 declined 11bps on lower d/d volume, while the Nasdaq declined 82bps on
higher d/d volume, registering a distribution day. Indices have immediate support at their 10-DMA (6,113/19,991), followed by their 21-
DMA (6,041/19,691), 1% and 3% lower, respectively. The distribution day count is at four on the S&P 500 and three on the Nasdaq.

Won Global View

Posted on by Deepashree MC

The U.S. market is in a Confirmed Uptrend. The S&P 500 and Nasdaq gained 52bps and 47bps, respectively, extending their gains to
new highs. Support is at the rising 21-DMA (6,025/19,640), ~3-4% below. The distribution day count stands at four and two, respectively,
after one expired on the Nasdaq yesterday.

Won Europe Today

Posted on by Deepashree MC

Ishares DJ Stoxx600 (EXSA.DE)

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

  • Most European markets witnessed broader gains in the past week and reclaimed their near-term moving averages. The Stoxx 600 gained ~1.3% last week and is currently trading around its 50-DMA, slightly below the 21-DMA.
  • On the sectoral front, Capital Equipment, Technology, and Consumer Cyclical were the strongest gainers. On the rotation graph, Utility and Capital Equipment showed positive short-term momentum, while momentum remained muted in Financial and Retail.

U.S. Economic Summary

Posted on by Deepashree MC

Q1 GDP missed consensus and showed first contraction since 2022: Per final estimates, the U.S.
economy contracted 0.5% y/y in Q1, lower than estimates of 0.2% y/y decline and reversing from 2.4%
y/y growth in Q4 FY24. Consumer spending rose 0.5%, marking the slowest growth since 2020. Federal
government spending dropped 4.6% y/y while fixed investment rose 7.6% y/y, the fastest since
mid-2023z

Won Global View

Posted on by Deepashree MC

The U.S. market is in a Confirmed Uptrend. On Friday, the S&P 500 and Nasdaq gained 52bps each and closed above their prior alltime highs, for the first break to highs in four months. Support is at the rising 21-DMA (6,007/19,567), which indices are ~3–4% extended
from. The distribution day count stands at four and three, respectively, with one expiring on the Nasdaq today after market close.

Won Europe Today

Posted on by Deepashree MC

Ishares DJ Stoxx600 (EXSA.DE)

On Friday,

  • European markets ended higher, notching their first weekly gain in three weeks. Optimism around a potential easing in the U.S.-China trade dispute boosted risk appetite, especially among automakers. As tensions in the Middle East eased, investor focus turned to global trade talks, with hopes of progress ahead of the early July deadline for new U.S. tariff hikes.
  • The Stoxx 600 bounced off more than 1% after finding support at its converging 50- and 100-DMA.The index has near-term resistance 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 British sports retailer JD Sports (JD.GB; JD/:LN) rose 7.5% following a better-than-expected Q1 guidance by its U.S. peer Nike (NKE). Meanwhile, shares of Porche AG (P911X.DE; P911:GR) closed 7.6% higher after the carmaker decided to sell its consulting and IT services business, which is valued at more than €1B.
  • Most sectors closed in positive territory, with Automobiles (+413bps) and Banks (+164bps) leading the gains. Utility was the sole outlier (-17bps).
  • Among major indices, France’s CAC 40 recovered after making losses in the past couple of sessions and closed 1.8% higher. The index reclaimed its 200-DMA and was facing resistance at its converging 21- and 50-DMA. Germany’s DAX 30 found support at its 10-DMA and closed 1.7% higher, retaking its 21-DMA. It was trading above all its key moving averages. The U.K.’s FTSE 100 closed 0.7% higher and retook its 10-DMA, with immediate resistance at its 21-DMA.
  • Sweden was upgraded to a Confirmed Uptrend from a Rally Attempt as the index recorded a follow-through day. Denmark recorded Day 1 of its rally attempt.
  • All the 16 indices we track closed in the green. Four are in a Confirmed Uptrend, five in a Rally Attempt, one in a Downtrend, and six in an Uptrend Under Pressure. The average distribution day count stands at 3.5.
  • All the 23 European Focus List names are trading above their 200-DMA, while 17 ideas are trading above their 50-DMA.
  • Actionable names in the European Focus List are Alk-Abello B (ALK.DK; ALKB:DC), Odfjell Drilling (ODDR.NO; ODL:NO), Safran (SGM.FR; SAF:FP), Medicover B (MEDI.SE; MCOVB:SS), and Bawag Group (BWGP.AT; BG:AV).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq gained 80–100bps on higher d/d volume. Next resistance
is at their all-time high (6,147/20,205), and support is at the rising 21-DMA (5,990/19,496). The distribution day count stands at four and
three, respectively, after one day expired on each index yesterday after market close.