In recent years, artificial intelligence has become one of the most important topics in the technology sector. While much of the attention is focused on model developers and companies providing infrastructure, the long-term winners in this technology may also emerge on the application side. The interactive media segment is particularly interesting from this perspective, as the business models of companies operating in this field rely heavily on monetizing user attention and producing digital content. In the second part of our industry analysis series, we review current trends and potential catalysts affecting search engines and social media platforms.
European stock markets are currently outperforming their U.S. counterparts, and thanks to the gains of the past few days, our screenings have identified a number of interesting stocks. Among these, we have highlighted stocks that have recently shown signs of a structural turnaround, while strengthening buying pressure is also supporting the positive technical picture. One such company is Germany’s Nemetschek, a leading provider of construction and architectural design software. The other is the Dutch firm Wolters Kluwer, which offers professional information, software, and specialized database solutions. For both stocks, the search for long entry opportunities may have begun.
The dollar’s rally is beginning to run out of steam and may turn into a correction—a weakening phase—which would mean rising trends against both the euro and the pound. The forint continues to strengthen against its major counterparts, and new lows may be reached against its key pairs. Going against the forint still does not seem like a good idea. For the USD/JPY currency pair, the target could be 162.5 above the 159.38 level. The EUR/CHF exchange rate is also trending upward; a minor upward wave has been underway since the breakout from the trend line.
Breaking the downtrend is on the agenda. A close above the natural level of 1.1597 could present an opportunity to open a long position. It’s advisable to manage risk using the thick green trendline. This rally is still on fairly shaky ground; we haven’t seen a strong green candle yet. Incidentally, the 1.1719 level could be the target for this rally.
Resistance levels: 1.1719; 1.1841; 1.1962; 1.2085; 1.2207; 1.2329; 1.2451.
Support levels: 1.1475; 1,1352; 1.1230.
A weakening dollar could provide an opportunity to break the downtrend and trigger a long wave. A close above the 1.3428 level could signal a long position. The thick green trendline could serve as a risk management level.
Resistance levels: 1.3672; 1.3916; 1.4160.
Support levels: 1.3184; 1.2939; 1.2812; 1.2695.
The series of lower swing highs and lows is still intact due to the new low; the downtrend has not been broken. Since the price has continued to fall, the next support level is around 343. It’s worth keeping an eye on the red downtrend line; until it breaks upward, going long doesn’t seem like a good idea.
Resistance levels: 375; 382,8; 390,6.
Support levels: 343.75; 335.9; 328.1.
With this new low, the overall downtrend has continued. The next support level is around 296.9. The trend is still pointing downward, so it still does not seem like the right time to take a long position.
Resistance levels: 320.4; 328.1; 343.75; 351.5; 359.38.
Support levels: 296; 289.2; 281.25.
The main trend is upward, as indicated by the thin green trendline. As long as the 159.4 level isn’t broken, the price won’t be able to fall. Three weeks ago, the price broke through the minor countertrend, opening the way for it to reach its previous high. On the upside, 162.5 is expected to be the next strong resistance level. On the downside, the uptrend runs around 156.25.
Resistance levels: 162.5; 165.63; 168.75.
Support levels: 156.25; 153.125; 151.5; 150.
The upward trend has continued since the breakout from the green uptrend line, so going long still seems like the better option. If the green trend line is broken, it might be time to go short, but that’s not the case yet.
Resistance levels: 0.9277; 0.9399; 0.9521; 0.9644.
Support levels: 0.9033; 0.8911.
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