Ford and Mosaic Are Showing Signs of a Turnaround
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Hungarian Equities - Technical Analysis
After reaching the 150,000-point level, the index began to correct. However, for a meaningful short position to develop, the long-term uptrend line would also need to be broken. MOL’s share price rose steadily to the 5,000 forint level, where it had become significantly overbought, triggering a correction. Richter climbed back toward its previous all-time high before turning downward from there. Magyar Telekom’s share price showed a slight rise from the 2,500 forint level; however, if it were to remain below 2,656 forint for an extended period, this could signal a strong reversal. Opus continues to move within a downtrend, and there are no clear signs of a reversal forming at this time. Following a sharp rise, Rába is currently in a consolidation phase. It is worth looking for new long entry opportunities after a deeper retest, particularly in the range below 3,125 forints.
The Austrian energy giant is starting to look promising
European markets are also trading near key resistance levels, in the shadow of previous highs, so it’s no surprise that momentum strategies are currently underperforming. It’s hard to find a stock that shows a convincing reversal signal and thus offers an attractive long opportunity. In today’s analysis, we examine the chart of Austria’s largest electricity provider and one of Europe’s leading hydropower companies. The stock belongs to the category of defensive, low-volatility companies that pay stable dividends. Normally, we would look for a clearer technical picture and a stronger long setup, but in the current market environment, high-quality reversal opportunities are so scarce that, out of the four stocks we examined, this one proved to be the most promising.
U.S. markets remain stretched, so the number of momentum-based trading opportunities has declined significantly. As a result, it is becoming increasingly difficult to find high-quality stocks poised for an uptrend. Today’s analysis once again features Mosaic, one of the world’s largest fertilizer manufacturers, and Ford Motor Company. We recommended Mosaic stock two weeks ago, but at that time we made the buy recommendation contingent on certain conditions being met. Those conditions have since been met, so it’s worth keeping a close eye on the stock and looking for entry opportunities. In the case of Ford, further confirmation is needed; however, the current risk-reward ratio appears favorable, so this stock may also be added to the list of long-term investment opportunities.
Best rated US stocks based on momentum ranking
Compelling technical picture:
Mosaic (daily): Even though this stock had already been one of the selections on the momentum-based screening list two weeks ago, it has now secured an even higher position. It managed to break above the 25 level and then retest it. We’re seeing days of accumulation, and sentiment surrounding the stock is shifting. This chart remains suitable for buying on dips. The minimum expected target price is around 31.25, but it could even go higher later on.
Ford (daily): Automotive stocks aren’t the most popular these days, yet this chart tells a different story. To begin with, the overall trend has been upward since early 2025. Within this uptrend, the target price was at least around 18.75, a level it has not yet reached. After two rallies in recent weeks, its trading range has narrowed significantly, and it is now attempting to break out upward again from this range. Risk can be managed by a close below 12.5, while the target price, upon a break above the red trendline, points to at least the aforementioned 18.75 area, where a gap awaits filling.
List of stocks with a chance of a turnaround in the coming weeks
Most popular US stocks
The momentum model supports the creation of a technical based stock list that helps to find shorter-term trading opportunities. The model can be used to identify stocks that show reversal signals following more sustained falls/underperformance. We examine one-year, six-month, three-month, one-month and five-day momentum values, which are used to rank the stocks under consideration. The higher a stock is ranked in the order, the better it technically performs relative to the others. The change in the ranking over time is used to determine the life cycle of the stock.
- In the first table, we collect the stocks that show the most attractive picture compared to the others in a given week based on momentum factors, of which those are also presented in a separate chart where a favourable situation can be identified based on additional technical analysis tools.
- In the second table, we list the stocks that are already worthy of being placed in watchlist status. They are not among the best performers, but they have the potential to improve and signal a turnaround in a few days or weeks.
- In the third table, we have also collected the more popular stocks to help identify their position in the momentum order.
The report shows the results of a technical - quantitative based stock screening, which does not examine the fundamental background/value of the companies. For this reason, risk management/position sizing rules should be designed accordingly.
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