In recent weeks, there was a significant price increase in the sugar market, about which we have been fairly optimistic previously. This is primarily due to the fact that supply may be tighter as a result of higher biofuel prices and drier-than-usual weather in India. This was, of course, a positive development for companies such as Südzucker, which is one of the world’s largest sugar producers and a leading European player in biofuel production. As a result, the company’s stock price also jumped, reaching our previously set target price of 12.9 euros during yesterday’s trading, hence it may be worth realizing the roughly 15% return achieved in 1.5 months. While we are closing our Trading Idea, we are still keeping Südzucker’s shares on our Equity Top Pick List.
Industrial stocks have started to outperform in recent days. Among them, we selected the French transportation and infrastructure company Getlink SE, which primarily operates the Channel Tunnel (Eurotunnel) beneath the English Channel, connecting France and the United Kingdom. Its chart is showing an upside breakout following an extended period of consolidation.
The index has reached and surpassed the psychological 150,000 level in a healthy uptrend. A slight momentum divergence has emerged, but there is still no sign of a structural trend reversal. MOL has steadily climbed to the 5,000 level; although no reversal pattern is visible, the stock has become significantly overbought. Richter generated a buy signal morethan two weeks ago and has since retested its previous high, with no bearish reversal pattern evident so far. Magyar Telekom has been pulled back byprofit-taking toward the 2,500 area, but as long as it fails to break above its declining trendline, the correction may continue. In the case of 4iG, the share price has broken its downtrend and subsequently retested it, increasing the probability of a trend reversal. Rába broke its downtrend with a strong upward move and then reached a key historical resistance level at 4,375, which once again pushed the price lower. Technically, new long positions should be considered after a deeper pullback.
The index has reached the 150,000 level, while the uptrend remains intact and healthy. Some momentum divergence is warning that buying strength is weakening, but the structure of the uptrend has not yet been compromised. A break below the thin green trendline could trigger a more meaningful correction, although that support currently lies around 140,625.
Resistance levels: 150,000; 156,250.
Support levels: 137,500; 134,375; 131,250.
The current upward wave has already exceeded the 5,000 level, and no correction has been observed so far. The stock is considerably overbought, but no reversal day has appeared yet. The rising trendline remains far below the current price, meaning any future correction could be substantial. The 4,375 area should act as support once a correction begins. The next resistance levels are 5,156 and 5,313.
Resistance levels: 4,843; 5,000.
Support levels: 4,375; 4,062; 3,750; 3,438.
Following the trendline break, a strong bullish trend developed and has remained in force ever since. The minimum target was near the previous highs, which the stock reached in recent days. This move still leaves room for new highs, and no reversal signals have appeared yet. Even during corrective phases, long opportunities are likely to remain the preferred setup.
Resistance levels: 13,438; 13,750.
Support levels: 12,500; 11,250; 10,940; 10,625.
A strong correction has been underway for nearly three weeks. The stock generated a sell signal about one and a half weeks ago. Since the key natural support level at 2,578 has been broken, a structural shift has occurred, suggesting that any new advance would not be expected to generate fresh highs. More significant support levels can be found lower down.
Resistance levels: 2,734; 2,813.
Support levels: 2,500; 2,375; 2,250.
After breaking its downtrend, the rally quickly lost momentum, but the broken trendline may now act as support. A confirmed reversal still requires further evidence, as the bearish structure would only change with the formation of a higher low. Stronger resistance is located around 3,750, near the previous breakdown level.
Resistance levels: 2,500; 3,125, 3,750.
Support levels: 1,250; 938; 625.
The trendline was broken seven days ago, followed by a sharp rally. The stock is currently in a pullback phase, which could also be sizeable, but strong support may emerge from the 2,500 region downward. This setup would favor looking for new long opportunities. The upside target could once again be the 4,375 area, which has repeatedly capped advances in the past.
Resistance levels: 3,750; 4,375; 5000.
Support levels: 2,500; 1,875; 1,563; 1,250.
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