UK FTSE, ACWI, NETFLIX, VOLKSWAGEN
In the first week of the new year global equities had renewed strength. In the first half of December 2016, benchmark for the global equities, ISHARES MSCI ACWI had a strong breakout which was followed by three weeks of pullback. Price action in the first week of January pushed ISHARES MSCI ALL COUNTRIES WORLD INDEX to December 2016 highs suggesting the continuation of the uptrend in the following weeks.
ISH ACWI ETF – WEEKLY SCALE
ISHARES GLOBAL INDUSTRIALS ETF (EXI)
ISHARES GLOBAL INDUSTRIALS ETF that broke out of 2 year-long consolidation in the beginning of December 2016 and possibly completed its pullback to its horizontal support at 74.80 levels. This week’s long white candle also shows the renewed strength in the global industrial equities. EXI is an ETF listed in the NYSE.
EXI – WEEKLY SCALE
UK FTSE 100 INDEX (.FTSE)
UK FTSE 100 INDEX is setting up for a breakout to all-time high levels. Given the multi-decade long consolidation below 6,950 levels, breakout to all-time high levels above the horizontal resistance can be extremely positive for UK equities.
UK FTSE 100 – QUARTERLY SCALE
SUPERGROUP (SGP.L)
SUPERGROUP is a consumer cyclical company listed in the UK. The monthly scale long-term chart shows the strong 6 year-long horizontal resistance at 1705 levels. Strength in the UK FTSE index can result in similar breakouts in UK listed equities. Breakout to all-time highs for SUPERGROUP can be followed by multi-month uptrend.
SUPERGROUP – MONTHLY SCALE
SMITH DS (SMDS.L)
DS SMITH PLC is a basic materials company listed in the UK. The stock formed a 16 month-long H&S continuation chart pattern with the strong resistance at 425 levels. Breakout above 425 levels will push the stock to all-time highs. A daily close above 436 levels will confirm the breakout from multi-year continuation chart pattern.
DS SMITH – WEEKLY SCALE
ANDRITZ (ANDR.VI)
ANDRITZ is an industrial company listed in Austria Vienna Stock Exchange. 3 month-long rectangle chart pattern can act as a launching pattern for the year-long symmetrical triangle. Breakout from the 3 month-long rectangle can result in the completion of the year-long symmetrical triangle. A daily close above 50.50 levels will confirm the breakout from the lengthy sideways consolidation.
ANDRITZ – WEEKLY SCALE
GENMAB (GEN.CO)
GENMAB is a healthcare company listed in Denmark. Stock formed a 5 month-long rectangle with the upper boundary standing at 1300 levels. Earlier in November 2016, the stock violated the upper boundary. This was possibly a premature breakout which should be followed by the eventual confirmed breakout. A daily close above 1340 levels will confirm the breakout from the 5 month-long sideways consolidation with a possible price target of 1580 levels.
GENMAB – WEEKLY SCALE
PLASTIC OMNIUM (PLOF.PA)
PLASTIC OMNIUM is a consumer cyclical company listed in France. Stock formed a year-long rectangle with the strong horizontal resistance standing at 31 levels. Breakout above 31 levels will push the stock to all-time high levels. Breakouts from horizontal consolidation ranges to all-time high levels are usually followed by increased momentum. A daily close above 32 levels will confirm the breakout from the continuation chart pattern. Rectangle price target stands at 36.70 levels.
PLASTIC OMNIUM – WEEKLY SCALE
FORMPIPE (FPIP.ST)
FORMPIPE is a technology company listed in Sweden. Stock formed a 16 month-long ascending triangle with the strong horizontal resistance at 9.75 levels. This week’s price action violated the boundary line but the weekly close was below the resistance. A daily close above 10 levels will confirm the breakout from the bullish continuation chart pattern. Ascending triangle price target stands at 12 levels.
FORMPIPE – WEEKLY SCALE
GOLDWIND (2208.HK)
GOLDWIND is an energy company listed in Hong Kong. Stock price formed 8 month-long rectangle chart pattern with the horizontal boundary standing at 13 levels. A daily close above 13.40 levels will confirm the breakout from the continuation chart pattern. Rectangle chart pattern price target stands at 16 levels.
GOLDWIND – WEEKLY SCALE
NETFLIX (NFLX.O)
NETFLIX is a consumer non-cyclical company listed in NASDAQ. Stock formed a year-long rectangle with the horizontal resistance standing at 129.35 levels. This week’s price action was the 4th test of the horizontal boundary. Breakout from the long-term bullish continuation chart pattern can result in another strong trend period for NETFLIX. A daily close above 134 levels will confirm the breakout. Rectangle price target stands at 172 levels.
NETFLIX – WEEKLY SCALE
VOLKSWAGEN (VOWG.DE)
VOLKSWAGEN is a consumer cyclical company listed in Germany. Stock formed a year-long ascending triangle that could act as a possible trend reversal. Breakout above the horizontal boundary at 145 levels can fill the gap between 145-160 area. A daily close above 148 levels will confirm the breakout from the year-long ascending triangle. Chart pattern price target stands at 180 levels.
VOLKSWAGEN – WEEKLY SCALE
FAURECIA (EPED.PA)
FAURECIA is a consumer cyclical company listed in France. Stock formed a year-long ascending triangle that could act as a reversal. This week’s price action breached the horizontal boundary at 37.30 levels. A daily close above 38.40 levels will confirm the breakout. Chart pattern price target stands at 46.5 levels.
FAURECIA – WEEKLY SCALE
CHINA COMM CONSTRUCTION (1800.HK)
CHINA COMMUNICATIONS CONSTRUCTION is an industrial company listed in Hong Kong. Stock formed an 8 month-long symmetrical triangle continuation chart pattern. Breakout above 9.35 can complete the text book bullish continuation chart pattern with a possible price target of 12.
CHINA COMM CONS – WEEKLY SCALE
