Author: Deepashree MC

WON Europe Today

Posted on by Deepashree MC

Yesterday,

  • European markets recorded a positive session. The Stoxx 600 closed 69bps higher after a brief period of weakness, managing to retake its 50-DMA (513.8). Next level of resistance remains at its converging 10- and 21-DMA (518.5; +0.5%). We continue to recommend that investors remain selective while adding positions. Trim positions in stocks that have breached their logical levels of support.
  • All sectors closed in the green. Utility (+158bps), Chemicals (+100bps), and Oil and Gas (+92bps) were the most prominent gainers.
  • Among major indices, France’s CAC 40 continued its rally, gaining 76bps on average volume. The index retook its 200-DMA (7,605). Near-term resistance is at its February closing price (7,768; +1.8%). Germany’s DAX 30 has gained 41bps after finding short-term support at its 100-DMA (17,961) and attempting to catch up with its 50-DMA (18,337; +1.1%). The U.K.’s FTSE 100 tested stiff resistance at its slightly declining 10-DMA (8,201.3).
  • Portugal and Belgium registered Day 1 of their Rally Attempt. France, Germany, the U.K., Ireland, Finland, Austria, and Italy recorded Day 2 of their Rally Attempt. Spain was shifted to a Rally Attempt from a Downtrend after the index recorded Day 3 of its Rally Attempt.
  • Of the 16 indices we track, two are in a Confirmed Uptrend, four in an Uptrend Under Pressure, nine in a Downtrend, and one (Spain) in a Rally Attempt. The average distribution day count remained unchanged at 4.5.
  • Actionable names in the Focus List include Vat Group (VACN.CH; VACN:SW), Relx (REL.GB; REL:LN), Asml Holding (ASML.NL; ASML:NA), Rolls-Royce Holdings (RR.GB; RR/:LN), Inditex (IND.ES; ITX:SM), and Novo Nordisk ‘B’ (NON.DK; NOVOB:DC).

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:

  • Markets are experiencing high volatility following the European Parliament elections. With the breach of its 50 DMA, the Stoxx 600 was shifted down to an Uptrend Under Pressure.
  • All sectors shed their gains last week, with transportation, discretionary, and banking stocks suffering the most losses. Defensive sectors, such as Health Care and Consumer Staple, are gaining short-term momentum on a relative basis. Within the Financial space, Banks (Stoxx 600 Banks; EXV1.DE; SX7PEX:GR) declined more than 5.5% and fell below the 50-DMA for the first time since February.

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. Indices rallied, with the S&P 500 and Nasdaq rising 77bps and 95bps, respectively. The first level of support is at the rising 10-DMA (5,393/17,429), followed by the 21-DMA (5,339/17,127). The distribution day count stands at three and four, respectively

Won Europe Today

Posted on by Deepashree MC

On Friday,

  • European markets closed in the red due to elevated concerns about political risk following the European Parliament elections. The Stoxx 600 breached its 50-DMA (513.4) and was shifted to an Uptrend Under Pressure from a Confirmed Uptrend. Next support is at its 100-DMA (505; -1.1%). We recommend that investors cut losses in names which are breaking below their logical levels of support.
  • Among sectors, Health Care (+30bps) and Food and Beverage (+27bps) were the only gainers. Automobiles (-220bps), Travel and Leisure (-174bps), and Technology (-166bps) declined the most.
  • Among major indices, France’s CAC 40 gapped down 2.7% on huge volume. The index has recorded a weekly decline of 6.2%, the worst in more than two years. It has breached its 200-DMA (7,602.4), with immediate support at 7,500. Germany’s DAX 30 pulled back 1.4% on higher volume. The index closed almost in line with its 100-DMA (17,936), expecting near-term support at that level. The U.K.’s FTSE 100 continued to test resistance at its rising 50-DMA (8,175). However, the index closed 21bps lower.
  • Italy was shifted to a Downtrend from an Uptrend Under Pressure as the index breached its 100-DMA. The U.K. and France remain in a Downtrend as the indices breached Day 1 lows of their Rally Attempt.
  • The Stoxx 600 recorded its fourth distribution day. The Netherlands increased its distribution day count to eight.
  • Of the 16 indices we track, three are in a Confirmed Uptrend, three in an Uptrend Under Pressure, and 10 in a Downtrend. The average distribution day count stood at 4.3.
  • Actionable names in the Focus List include Beiersdorf (BEIX.DE; BEI:GR), Vat Group (VACN.CH; VACN:SW), Relx (REL.GB; REL:LN), Asml Holding (ASML.NL; ASML:NA), and Rolls-Royce Holdings (RR.GB; RR/:LN).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. Last week, indices rallied, with the S&P 500 and Nasdaq rising 1.6% and 3.2%, respectively. The first level of support is at the rising 10-DMA (5,375/17,333), followed by the 21-DMA (5,326/17,054). The distribution day count stands at three and four, respectively.

Won Europe Today

Posted on by Deepashree MC

Ishares DJ Stoxx600 (EXSA.DE)
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 Flutter Entertainment (FLTR.GB; FLTR:LN), Ryanair (RYA.IE; RYA:ID), and Kerry Group (KRZ.IE; KYGA:ID).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq rose 23bps and 34bps, respectively, and remain shortterm extended. The first level of support is at the rising 10-DMA (5,362/17,254), followed by the 21-DMA (5,315/16,991). The distribution day count stands at three and four, respectively.

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq hit fresh all-time highs, rising 85bps and 153bps,
respectively. The first level of support is at the rising 10-DMA (5,346/17,162), followed by the 21-DMA (5,303/16,922). The distribution day
count stands at three and four, respectively

Won Europe Today

Posted on by Deepashree MC

Yesterday,

  • European markets recorded a positive session, with the awaited release of updated rate projections by the Federal Reserve. The Stoxx 600 gained 1.08% and closed above its converging 10- and 21-DMA (520.9). Near-term resistance is at its recent May 15 highs (525.3; +0.45% above). We recommend that investors follow a selective approach while adding positions in names that are coming out of proper bases in leading industry groups post earnings.
  • Among sectors, Technology (+218bps), Retail (+180bps), and Banks (+120bps) led the gains, while Telecommunications (-34bps) and Oil and Gas (-27bps) lagged.
  • Among major indices, France’s CAC 40 gained 97bps on strong volume. Resistance is at its declining 10-DMA (7,950.3; +1.08%), followed by its 100-DMA (7,960.7; +1.2%). Germany’s DAX 30 bounced off its 50-DMA. The index gained 1.4% on average volume and retook its 10- and 21-DMA intraday.Resistance is at its 52-week high (18,892; +1.08%). The U.K.’s FTSE closed 83bps higher, catching up to its 10-DMA (8,237). Near-term resistance is expected at this level.
  • All the 16 indices we track closed in the green. France, the U.K., Ireland, Finland, Austria, Portugal, and Belgium recorded Day 1 of their Rally Attempt.
  • Five markets are in a Confirmed Uptrend, four in an Uptrend Under Pressure, seven in a Downtrend. The average distribution day count stood at 4.
  • Actionable names in the Focus List include Adidas (Xet) (ADSX.DE; ADS:GR), Relx (REL.GB; REL:LN), Nemetschek (NEMX.DE; NEM:GR), ASML Holding (ASML.NL; ASML:NA), and Saab B (SAAB.SE; SAABB:SS).

Won Global View

Posted on by Deepashree MC

The U.S. market remains in a Confirmed Uptrend. The S&P 500 and Nasdaq hit fresh all-time highs, rising 27bps and 88bps, respectively. The first level of support is at the rising 10-DMA (5,329/17,063), followed by the 21-DMA (5,291/16,854). The distribution day count stands at three and four, respectively.