Key points from this week’s report:
Please refer to the attached PDF for the full report.
European Equities closed higher for the second consecutive week, retaking key levels. The possibility of the central bank pivoting to a dovish stance led to the
market rally. The Stoxx 600 and 11 other indices are in a Confirmed Uptrend. The indices have acted constructively near their short-term moving averages in
the last few weeks and the distribution count in Europe is low at 2.3.
Growth sectors led the gains last week. Energy and Utility were down marginally and led the decline. From our rotation chart, sectors such as Cyclical, Financial,
and Basic Material are still showing positive short-term momentum. Staple continues to show a weak trend. Momentum in underperforming Tech and Health
Care seems to be at a turning point for the first time in over five weeks and the short-term momentum has turned more positive.
European Focus List Update:
o Actionable names include Sartorius Pref. (Xet) (SRT3X.DE; SRT3 GR), Straumann Hldg.( STMN.CH; STMN SW), Asml Holding (ASML.NL; ASML NA),
Epiroc A ( EPIA.SE; EPIA SS), Infineon Techs (IFXX.DE, IFX:GR), Moncler (MONC.IT; MONC IM), Burckhardt Cmpsn.Hldg. (BCHN.CH; BCHN:SW), Epiroc
A (EPIA.SE; EPIA:SS), Bic (BIC.FR; BB:FP), Deutsche Telekom (Xet) (DTEX.DE; DTE GR), Relx (REL.GB; REL LN), and Finecobank Spa (FCBK.IT; FBK IM)
o Addition: Sartorius Pref. (Xet) (SRT3X.DE; SRT3 GR), Straumann Hldg.( STMN.CH; STMN SW),
o Removal: None