Global Focus Emerging

Global Focus Emerging

LATAM Weekly Summary

Please refer to the attached PDF for the full report.

Brazil’s Bovespa was up 0.1% last week. The Brazilian market remains in a Downtrend. The next level of support is at the 200-DMA (112K). We recommend clients remain cautious.
Mexico’s main benchmark was up 1.5% last week. The Mexican market was shifted to a Rally Attempt as it held above its recent low. We recommend clients remain cautious and wait for a follow-through day to add risk in Mexican equities.
The total number of Focus List stocks in the LATAM region remains at five. None are actionable.
Stocks of interest: Inter (IP9.BR; INBR32:BZ), Banco Do Brasil (IO3.BR; BBAS3:BZ), Ultrapar (U3G.BR; UGPA3:BZ), BRF Brasil Foods (DG3.BR; BRFS3:BZ), Caixa Seguridade (CS6.BR; CXSE3:BZ), Petrobras (POB.BR; PETR4:BZ), Fomento Economico Mexicano (FMU.MX; FEMSAUBD:MM), and Qualitas (QCC.MX; Q*:MM). Additional names are listed on page 3.

Global Focus Emerging

Key points from this week’s report:

Please refer to the attached PDF for the full report.

Brazil’s Bovespa was down 2.3% last week. The index was shifted to a Downtrend from a Rally Attempt as it broke below
near-term support at 113,284. We recommend clients remain cautious and avoid adding risk in Brazilian equities.
Mexico’s main benchmark was down 2.2% last week. It was shifted to a Downtrend from a Rally Attempt as it broke below
support at 48,485. We recommend clients remain cautious and avoid adding risk in Mexican equities.
We removed MercadoLibre (MELI) from the Focus List. The total number of Focus List stocks in the LATAM region is now
down to five. Petro Rio (HRT.BR; PRIO3:BZ) is actionable.
Stocks of interest: Banco Do Brasil (IO3.BR; BBAS3:BZ), Ultrapar (U3G.BR; UGPA3:BZ), BRF Brasil Foods (DG3.BR;
BRFS3:BZ), Caixa Seguridade (CS6.BR; CXSE3:BZ), Inter & Co. (IP9.BR; INBR32:BZ), Vibra Energia (PRB.BR; VBBR3:BZ)
and Qualitas (QCC.MX; Q*:MM). Additional names are listed on page 3.

Global Focus Emerging

Please refer to the attached PDF for the full report.

Brazil’s Bovespa was up 1.4% last week. The market was moved to a Rally Attempt from a Downtrend. We recommend clients wait for a follow-through day and an upgrade in the market condition to a Confirmed Uptrend before adding risk in Brazilian equities.
Mexico’s main benchmark was down 0.6% last week. The market was moved to a Rally Attempt from a Downtrend. We recommend clients wait for a follow-through day and an upgrade in the market condition to a Confirmed Uptrend before adding risk in Mexican equities.
We removed Oncoclínicas (ODB.BR; ONCO3:BZ) from the Focus List. There are now six Focus List stocks in the LATAM region. Petro Rio (HRT.BR; PRIO3:BZ) is actionable.
Stocks of interest: Rumo (P3M.BR; RAIL3:BZ), Ultrapar (U3G.BR; UGPA3:BZ), BRF Brasil Foods (DG3.BR; BRFS3:BZ), Caixa Seguridade (CS6.BR; CXSE3:BZ), Aliansce Sonae (SSB.BR; ALSO3:BZ), Inter (IP9.BR; INBR32:BZ), Vibra Energia (PRB.BR; VBBR3:BZ), Fibra Uno (FUN.MX; FUNO11:MM), Qualitas (QCC.MX; Q*:MM) and Globant (GLOB).

Global Focus Emerging

Please refer to the attached PDF for the full report.

Brazil’s Bovespa was down 2.1% last week. It was shifted back to a Downtrend from a Rally Attempt. We recommend clients avoid adding risk in Brazilian equities.
Mexico’s main benchmark was down 2.4% last week. It remains in a Downtrend. We recommend clients avoid adding risk in Mexican equities.
We removed Banco Pan (PMP.BR; BPAN4:BZ) from the Focus List. The total number of Focus List stocks in the LATAM region is now seven. Alsea (ALE.MX; ALSEA* MM) is setting up to break out of a cup-with-handle base.
Stocks of interest: Caixa Seguridade (CS6.BR; CXSE3:BZ), Vibra Energia (PRB.BR; VBBR3:BZ), Suzano (SUZ.BR; SUZB3:BZ), Inter (IP9.BR; INBR32:BZ), Petrobras (POB.BR; PETR4:BZ), Qualitas (QCC.MX; Q*:MM) and Grupo Cementos (GCC.MX; GCC*:MM).

Global Focus Emerging

Please refer to the attached PDF for the full report.

Brazil’s Bovespa was up 0.5% last week. It remains in a Rally Attempt. We recommend clients wait for a follow-through day before accumulating Brazilian equities.
Mexico’s main benchmark was down 1.6% last week. The index was shifted to a Downtrend as it declined 1.3% on Friday, and broke below the September 28 low. We recommend clients avoid adding risk in Mexican equities.
The total number of Focus List stocks in the LATAM region remains at eight. Alsea (ALE.MX; ALSEA* MM) is forming a cup-with-handle base.
Stocks of interest: Vibra Energia (PRB.BR; VBBR3:BZ), Inter (IP9.BR; INBR32:BZ), Suzano (SUZ.BR; SUZB3:BZ), Caixa Seguridade (CS6.BR; CXSE3:BZ), Mahle Metal (LV3.BR; LEVE3:BZ), Fibra Uno (FUN.MX; FUNO11:MM), Grupo Cementos (GCC.MX; GCC*:MM) and Globant (GLOB).