Short-Term (days/weeks): still negative, no buy signal for the DJ Eurostoxx 50

Short-Term (days/weeks): still negative, no buy signal
The DJ Eurostoxx 50 was slightly lower last week as Daily OB/OS momentum
turned negative.
At the close on Friday, the DJ Eurostoxx 50 was testing trend support from the fall
2022 low ; Daily OB/OS momentum was modestly oversold.
No buy signal—the short-term trend (days/weeks) for the DJ Eurostoxx 50 remains
negative.
DJIA/NYSE ITI analogs of peaks in the 70% range still look relevant and suggest
weakness to mid-August for the key US equity market. This should weigh on the DJ
Eurostoxx 50.
See Daily OB/OS Charts, attached, page 6 and analog charts pages 2-3.
Intermediate-Term (weeks/months): negative
Intermediate breadth and momentum indicators for Europe/UK were all higher weekon-
week at the close on Thursday, including DJ Stoxx 600 and FT A ll Share
Intermediate Term Indicators and Money Flow of the DJ Stoxx 600 and FT All Share
Stock. Intermediate indicators for the DJ Stoxx 600 and FT All Share both
accelerated higher.
The DJ Stoxx 600 and FTSE were also both higher week-on-week at the close on
Thursday ; both indices are turning up above nearest price support.
See Weekly Charts, pages 7 and 8, attached.
This does not look like an intermediate buy signal; also, the intermediate trend for
the key US equity market remains negative.
DJIA/NYSE ITI analogs (peaks in the NYSE ITI in the 70% range excluding 2020)
suggests further 1-4% weakness for the key DJIA from now until mid-August, then a
rally to new highs by either late September (average of second signals, chart page 2)
or mid-November (average best analogs, chart page 3).
Europe equities should follow suit.
Key Takeaway: for now, the intermediate outlook (weeks/months) for Eur ope
equity indices remains negative.