Short-Term (days/weeks): further modest weakness for the DJ Eurostoxx 50, to be used as a buying opportunity

Short-Term (days/weeks): further modest weakness for the DJ Eurostoxx 50, to be used as a buying opportunity
The DJ Eurostoxx 50 was lower last week, turning down at resistance from the January 2022 and 2023 highs as Daily OB/OS momentum turned down at modestly overbought.
At the close on Friday, DJ Eurostoxx 50 was testing trend support from the January 2023 low ; Daily OB/OS momentum was still very modestly overbought.
On balance, further modest weakness for the DJ Eurostoxx 50 is possible in line with expectations for further modest weakness in the key US market, but should be used as a buying opportunity since the intermediate trend for Europe equities is positive (see below).
See Daily OB/OS Charts, attached, page 6.
Intermediate-Term (weeks/months): still positive
Intermediate breadth and momentum indicators for Europe/UK were mixed week-on-week at the close on Thursday:
 FT All Share Intermediate Term Indicator was higher,
 DJ Stoxx 600 Intermediate Term Indicator was unchanged and
 Money Flow of the Average FT All Share and DJ Stoxx 600 Stock fell.
The DJ Stoxx 600 and FTSE were both higher week-on-week at the close on Thursday ; the DJ Stoxx 600 is now testing intermediate resistance and the FTSE breached resistance.
See Weekly Charts, pages 7 and 8, attached.
Mixed Europe intermediate indicators of breadth and momentum accompanied by renewed improvement in Europe equity indices suggests that the intermediate trend (weeks/months) for Europe equity indices is intact.
The intermediate trend for the key US equity market is still positive too : see US Report.
Key Takeaway: the intermediate outlook (weeks/months) for Europe equity indices remains positive.