Commentary: We have a positive view on the crypto market as GBTC continues to trade above the 200-DMA with an RS Rating of 88. It is
pulling back 1% this week after gaining almost 9% last week. ETHE is down over 4% and is testing support at the 50-DMA. Following are the
stocks that screen well from the O’Neil lens:
Author: Romeo Alvarez
Romeo Alvarez is a senior equity analyst at William O’Neil + Co., a registered investment advisor serving 400 top-performing institutional portfolio managers worldwide. The firm employs 150 associates in Los Angeles, New York, Boston, and London.
Based in the firm’s Los Angeles office, Mr. Alvarez is a senior equity analyst covering the Americas region and a member of the Global Focus List Committee, which approves all equity recommendations for developed, emerging, and frontier markets. Romeo also selects equity initiations to be covered in the Technology sector and regularly reports to clients on innovation and technology developments in Trend Watch.
Mr. Alvarez earned a B.S. in Business Economics from the University of California, Riverside, and an MBA with a focus in Finance from Loyola Marymount University, Los Angeles.
LATAM Weekly Summary
Key points from this week’s report:
Please refer to the attached PDF for the full report.
- Brazil’s Bovespa index gained 0.4% last week and continues to hold above support at the 200-DMA. The index remains in an Uptrend Under Pressure. We recommend clients selectively add risk in Brazilian equities.
- Mexico’s main benchmark gained 1.2% last week and retook support at the 50-DMA. The index remains in an Uptrend Under Pressure with four distribution days. We recommend clients selectively add risk in Mexican equities.
- We added BBB Foods (TBBB) to the Focus List last week, taking the total number of Focus List names in the Latam region to seven.
- Stocks of interest: Weg (WG3.BR; WEGE3:BZ), Marfrig (MFA.BR; MRFG3:BZ), Cencosud (CNS.CL; CENCOSUD CI), Grupo Aeroportuario Del Pacifico (GAP.MX; GAPB MM) and Alfa (AFA.MX; ALFAA MM).
O’Neil TMT Weekly
Software (IGV): The software benchmark is near its all-time-high (+2%) and slightly above its pivot ($87) with the first level of
support along its rising 10-DMA ($91) followed by its 21-DMA ($90). Quantitative metrics improved over the last two weeks, with
Up/Down Volume ratio rising to 2.0 from 1.3 and a positive Acc/Dist Rating of 36, indicating accumulation. Heading into earning
season, IGV constituents expect a median Q3 revenue and EPS growth of 11% and 14%, respectively (see graph), a steady decline
over the last four quarters that is expected to re-accelerate in 2025. Currently, performance remains selective across the IGV as
extended leaders – ADSK,FICO, IBM, ORCL, NOW, PLTR, and QTWO – continue to trend higher. Breadth is expanding as more
ideas are at or approaching pivot levels, including ALKT, DDOG, NTNX, PANW, SHOP, and WIX. We recommend adding risk to
ideas that are breaking out or forming the right side of their bases with a rising RS line.
O’Neil Global Cryptocurrency Weekly
Commentary: We are turning positive on crypto, as GBTC was shifted to a Confirmed Uptrend. This week, GBTC is up 8% and has reclaimed all its key moving averages, including the 200-DMA. ETHE is also rallying, up almost 7% this week. Following are the stocks which screen well from the O’Neil lens:
- Breaking out – CORZ, MSTR
- Setting up – SQ, NVDA, GLXY.CA, CIFR
LATAM Weekly Summary
Key points from this week’s report:
Please refer to the attached PDF for the full report.
- Brazil’s Bovespa index declined 1.4% last week and is trading 5% off highs. The index remains in an Uptrend Under Pressure with six distribution days. We recommend clients selectively add risk in Brazilian equities.
- Mexico’s benchmark index declined 0.4% last week and is trading 11% off-highs. The index remains in an Uptrend Under Pressure with three distribution days. We recommend clients selectively add risk in Mexican equities.
- The total number of Focus List stocks in the Latam region remains at six.
- Stocks of interest: Grupo Aeroportuario Del Pacifico (GAP.MX; GAPB MM), Falabella Saci (FAL.CL; FALAB CI), Lojas Renner (LE3.BR: LREN3 BZ) and Marcopolo (RL4.BR, POMO4 BZ). Additional ideas are listed on page 3.
O’Neil TMT Weekly
Software (IGV): The software benchmark broke above resistance ($88–89) and out of a large eight-month trading range ($75–88) on above average volume into new all-time highs. Quantitative metrics improved over the last week, with Up/Down Volume ratio rising to 1.6 from 1.3 and a positive Acc/Dist Rating of 32, indicating accumulation. Performance remains selective across the IGV as extended leaders – FICO, IBM, ORCL, NOW, PLTR, QTWO – continue to trend higher, while breadth is expanding as more ideas are at or approaching pivot levels, including DDOG, GMOP.JP, MSTR, NTNX, PANW, SHOP, and VRNS. This is in contrast to key large cap constituents that are lagging and remain weak technically, including ADBE, MSFT, INTU, and WDAY. Eight of the 12 industry groups showed improvement in group rank over the last four weeks. Of these, Database (#34) showed the sharpest improvement, followed by Edu/Media (#29) and Security (#122). We recommend adding risk to ideas that are breaking out or forming the right side of their bases with a rising RS line.
O’Neil Global Cryptocurrency Weekly
Commentary: We remain selective on crypto-related stocks. GBTC and ETHE are in an Uptrend Under Pressure. GBTC is down a little less
than 1% this week as it continues to hit resistance at the 200-DMA. ETHE is up almost 1% for the week, but continues to trade below the 50-
DMA and 200-DMA. Following are the stocks that screen well from an O’Neil lens:
LATAM Weekly Summary
Key points from this week’s report:
Please refer to the attached PDF for the full report.
- Brazil’s Bovespa index declined 0.7% last week and undercut support at the 50-DMA. The index remains in an Uptrend Under Pressure with seven distribution days. We recommend clients selectively add risk in Brazilian equities.
- Mexico’s benchmark index declined 0.3% last week and is trading 11% off-highs. The index was shifted to an Uptrend Under Pressure as it broke below support at the 50-DMA. We recommend clients selectively add risk in Mexican equities.
- The total number of Focus List stocks in the Latam region remains at six.
- Stocks of interest: WEG (WG3.BR; WEGE3 BZ), Marcopolo (RL4.BR, POMO4 BZ), Santos Brasil (STB.BR; STBP3 BZ), Telefonica Brasil (TEE.BR; VIVT3 BZ), Alfa (AFA.MX; ALFAA MM) and Falabella Saci (FAL.CL; FALAB CI).
O’Neil TMT Weekly
Software (IGV): The software benchmark is attempting to break out of a large eight-month consolidation and testing resistance at
$88–89. Quantitative metrics remained stable over the last week, with an Up/Down Volume ratio of above 1 and a positive Acc/Dist
Rating of 27, indicating accumulation. Standout ideas near their pivot or on the right side of their base and under accumulation include
ADSK, GEN, JKHY, QTWO, SHOP, TOST, and VERX. Nine of the 12 industry groups showed improvement in group rank over the
last four weeks. Of these, Edu/Media (#36) showed the sharpest improvement, followed by Database (#54) and Financial (#8). We
recommend a selective approach to adding risks as we would like to see the IGV break through and hold about resistance ($89).
O’Neil Global Cryptocurrency Weekly
Commentary: We turn a bit cautious on crypto as GBTC and ETHE were shifted to an Uptrend Under Pressure. GBTC breached its 200-
DMA and is down 7% for the week. ETHE declined 13% for the week and is trading below all its key moving averages. We would turn more
positive if GBTC is able to retake support at the 200-DMA.
