Symbol: TRON.HK

Global Laggards

Posted on by Cornelio Ash

Highlighted Charts

U.S.: Graphic Packaging (GPK), RPM International (RPM), Paccar (PCAR), Caterpillar (CAT), OneSpaWorld Holdings (OSW), Travel+Leisure Co (TNL), Clorox (CLX), SLB (SLB), Glacier Bancorp (GBCI), Integra Lifesciences (ITGR), Carvana (CVNA), Sensata Technologies (ST),  United Parcel Svc (UPS).

Developed: Techtronic Inds. (TRON.HK; 669 HK), Mips (MIPS.SE; MIPS SS), China Coal Energy ‘H’ (CCEC.HK; 1898 HK), Azrieli Group (AZRG.IL; AZRG IT), Inditex (IND.ES; ITX SM), Fujifilm Holdings (FP@N.JP; 4901 JP), Auto Trader Group (AUTO.GB; AUTO LN).

Emerging: Hd Gamuda (GAMU.MY; GAM MK), Bank Syariah Indonesia (BRY.ID; BRIS IJ), HTC (HIC.TW; 2498 TT).

Global Laggards

Posted on by Cornelio Ash

Attached is the latest Global Laggards report from our analysts.

 

This report has been curated by our sector analysts to find stocks showing technical weakness. We believe these stocks 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.

 

Highlighted Charts

 

U.S.: W D 40 (WDFC), Mettler Toledo (MTD), Genpact (G), Johnson Controls (JCI), Constellation Brands A (STZ), U G I Corporation (UGI), Green Plains (GPRE), Green Dot (GDOT), Primerica (PRI), First Citizens Bank (FCNCA), Waters Corp (WAT), Omnicell (OMCL), Big Lots (BIG), L K Q Corp (LKQ), T D Synnex (SNX), Cohu (COHU), F 5 (FFIV), Jabil (JBL), Akamai Technologies (AKAM), P T C (PTC), Interactive Corp (IAC).

 

Developed: Mineral Resources (MIN.AU, MIN AU), Hitachi (HC@N.JP, 6501 JP), Techtronic Industries (TRON.HK, 699 HK), Vivendi (EX@F.FR; VIV FP), Bandai Namco (N@MB.JP; 7832 JP), Asics (FD@N.JP; 7936 JP), Hermes International (RMS.FR; RMS FP), Puma (Xet) (PUMX.DE; PUM GR), Calbee (CALB.JP; 2229 JP), Standard Life Aberdeen (ABDN.GB; ABDN LN), Nippon Shinyaku (JU@N.JP; 4516 JP), Koninklijke Ahold Delhaize (AD.NL; AD NA), Hexagon B (EKBF.SE; HEXAB SS), Deutsche Post (Xet) (DPWX.DE; DPW GR).
Emerging: Ace hardware Indonesia (ACE.ID; ACES IJ).

APAC Weekly Summary

Posted on by Derek Higa

Key Points:

  • Major APAC markets continue to act constructively but are due for consolidation in the near term in our view.
  • Should this happen, we would look for support to hold above or at key moving averages (200-DMA).
  • To remain constructive, leading ideas (RS Rating > 80) should also hold support while indices pull back.
  • Large caps have largely underperformed over several weeks but this week, we are noticing more rotation into quality large-cap growth ideas globally.
  • RS Ratings for technology stocks have improved the most over the last four weeks.

Global Sector Commentary

Posted on by Kenley Scott

Key points:

Following a big breakout in Japan over the past two weeks, there has been short-term improvement across other large APAC markets in China/Hong Kong.

While still early on, and with indices still well below their 40-WMA with significant overhead resistance, it is still a good time to search for new ideas to buy should the improvement persist.

In addition to recent Focus List additions from overall stronger markets, such as Biocon ( BBB.IN; BIOS IN ), ICICI Lombard General Insurance ( ILG.IN; ICICIGI IN ), Taiwan Semiconductor Manufacturing ( TSM.TW; 2330 TT ), and PTT Exploration and Production ( PTTE.TH; PTTEP TB ), a couple of new ideas from China/Hong Kong include China Resources Cement Holding ( CRCH.HK ), Techtronic Industries ( TRON.HK ), Foshan Hai Tian Flavoring ( FHT.CN ), and Winning Health Technology ( KWS.CN ).

APAC Market Update

Posted on by Derek Higa

We are upgrading Hong Kong to a Confirmed Uptrend as the Hang Seng staged
a day seven follow-through day. The index gained 1.7% on volume greater than
the previous day and above average daily volume. This is the second follow-through day, after one failed on August 27.
Furthermore, the Hang Seng is now trading slightly above its 50-DMA (~28,830), which we see acting as support going
forward. We recommend gradually buying actionable growth ideas as they break out from sound bases or
looking for aggressive entries on high conviction names as they break through their 50- or 200-DMA.
Both Mainland China and Hong Kong indices are now in a Confirmed Uptrend but still trading near bear market
territory, thus, markets may continue to be volatile as a bottoming-out occurs. Looking ahead, we would like indices
to hold above their respective 50-DMA or continue momentum higher in the coming weeks to maintain our conviction.
However, a quick downside reversal similar to August’s failed follow-through day would be viewed as bearish.

APAC Market Update

Posted on by Derek Higa

Highlights:

We are upgrading both mainland China and Hong Kong to a Confirmed Uptrend as the CSI 300 and Hang Seng staged a Day 6 and Day 7 follow-through, respectively. Each gained more than 2% today on greater than average daily volume. We continue to follow our disciplined approach. We recommend gradually buying actionable growth ideas as they break out from sound bases or looking for aggressive entries on high conviction names as they break through their 50- or 200-DMA.   

 

Each index remains below its respective 50-DMA, where resistance has been consistent. Thus, we remain patient until markets can prove they can rise and hold above this level. Should this happen, our conviction would increase. We also note that mainland China markets remain in bear territory, thus follow-through days have a higher probability of failure. This is the second follow-through day attempt for mainland markets since July.