📊 This TREND is Emerging...

This is important to understand before you trade today.

Follow the Trend

A key to success in trading stocks is understanding trends that we are seeing in the market and capitalizing on them.

There is one trend that I have noticed recently that I think is important to understand. Let’s get into it.

European Equities Trend

We are seeing a rotation away from US equities and into European equities.

There are a couple key indicators that show this.

First, we have a positive RSI divergence developing comparing the DAX (German stock market) vs. the SPY.

Second, we aren’t making lower lows anymore and are turning when comparing relative performance of the EWN (Dutch stock market) vs. the SPY.

Finally, we are seeing relative strength in European stocks like ASML vs. other semiconductor companies.

I would look for this trend to continue so keep an eye on international names. For example keep an eye on the performance of Toyota ($TM) and how it is hitting all-time highs compared to TSLA which is struggling.

I cover this trend in the video below: