The major U.S. indices turned lower last week, with key trendlines also coming under pressure. In such an environment, momentum is clearly favoring the sellers, making it difficult to identify attractive buying opportunities for the time being. The key question, of course, remains whether we are witnessing the beginning of a lasting trend reversal or merely a short-lived yet sharp correction. Accordingly, although a few stocks met the predefined screening criteria this week, none of them offered a particularly compelling entry point.
Among U.S. indices, both the S&P 500 and the Nasdaq have broken their upward trends,which had been lasting for months. There is room for a correction, so it may only be worth buying well below current levels. The Russell 2000 began its decline earlier and has continued to fall since then. The DAX and the Stoxx 600, on the other hand, are showing some reversal from their strong support levels, but this appears to be more of a correction. The index tracking emerging markets has also broken below the lower boundary of its trading range and has begun a trend-like decline.
The BUX index has retested half of the downtrend; upside potential still appears limited, and a retest of another swing low is more likely. MOL’s share price has remained in a downtrend and could fall even lower than the most recent swing low of 4,844. Richter has also remained in a downtrend; more momentum is needed to break the trend. Only Magyar Telekom’s share price has broken out of its consolidation range and given a clear buy signal. Opus is still in a downtrend; a reversal is not yet in sight. Rába continued to trade within its consolidation range; another upward wave could follow later, provided the right conditions are met.
After the uptrend structure broke down, a correction began, which regained about half of the decline. The 146,875 level is considered significant. Stronger resistance lies in the 150,000 range. As long as the curve remains below the red downtrend lines, two downward corrective waves could occur. The second one should fall below 137,500 again.
Resistance levels: 150,000; 153,125; 156,250.
Support levels: 137,500; 134,375; 131,250.
The stock remains in a correction phase because it has not yet been able to break through the thick red trend line. There is a minor support level at the natural support level around 4844. The correction could push the price down as far as halfway through the upward wave. For this reason, 4,530 or 4,375 are considered very strong support levels. It’s worth keeping an eye on the drawn downtrend line; until it breaks through it, going long doesn’t seem like a good idea.
Resistance levels: 5,156; 5,313; 5,438; 5,625.
Support levels: 4,580; 4,375; 4,062; 3,906; 3,750; 3,438.
Despite the slight rise, the market is still largely characterized by a correction. It would need to break through the red downtrend line to initiate a new upward wave. Above 12,810, 13,750 is the next resistance level.
Resistance levels: 13,750; 14,375; 15,000.
Support levels: 12,180; 11,875; 11,250; 10,940; 10,625; 10,313; 10,000.
The price broke out of the consolidation range to the upside, and the upward trend began with a close above 2,578. As long as the thin green trendline remains intact, the uptrend can be expected to continue. Stronger resistance is found around the 2,734 and 2,813 levels.
Resistance levels: 2,734; 2,813.
Support levels: 2,500; 2,375; 2,250.
It continued its decline within the downtrend. It also hit a new low, thereby pushing the structural shift. The reversal pattern is shifting due to the new swing low. The next level is 188; below that, 156 could be next. Until we see a strong up day with significant volume, the downtrend will not be able to reverse.
Resistance levels: 281; 312; 344; 375; 406; 438.
Support levels: 219; 188.
It is still trading within a narrow range and holding the level around 3,125. The consolidation between the two trend lines could continue for weeks. A break above the red trend line could open up further upside potential.
Resistance levels: 3,750; 4,375; 5000.
Support levels: 2,500; 1,875; 1,563; 1,250.
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