The european Index, DJ Euro Stoxx 50, representing the biggest 50 enterprises (marketcapitalisation) in Europe, has crossed the upper limit of the very long symmetrical triangle.
The fundamental data from EU-Zone and Europe are positive; only the EURO could be an obstacle because it had gained force in comparison with the US-Dollar. But this should change during this year, because of the tax reform from Trump and the tapering from the FED. The Dollar should strengthen versus the Euro.
The european central bank (ECB) has also tapered its QE-Program (with now producing 30 BN Euro per month - out of thin air) but it isn´t expectable to have rising interest rates as well.
With a weaker Euro the Global Player in Europe should take profit and have rising exports.
Of course there are many risks for the EU-Zone; for example the election in italy where it is expected that the Party of Grillo could win - and he is against all the austerity programs of the EU and the ICF.
Technically the Euro Stoxx 50 can profit from its outbreak - if the index doesn´t fall back.
Compared with the S&P 500 (blue line) european stocks have much space on the upside. P/E and P/B are also less expensive than in US.
indicators:
not bullish! - but little signs of a positive trend
The fundamental data from EU-Zone and Europe are positive; only the EURO could be an obstacle because it had gained force in comparison with the US-Dollar. But this should change during this year, because of the tax reform from Trump and the tapering from the FED. The Dollar should strengthen versus the Euro.
The european central bank (ECB) has also tapered its QE-Program (with now producing 30 BN Euro per month - out of thin air) but it isn´t expectable to have rising interest rates as well.
With a weaker Euro the Global Player in Europe should take profit and have rising exports.
Of course there are many risks for the EU-Zone; for example the election in italy where it is expected that the Party of Grillo could win - and he is against all the austerity programs of the EU and the ICF.
Technically the Euro Stoxx 50 can profit from its outbreak - if the index doesn´t fall back.
Compared with the S&P 500 (blue line) european stocks have much space on the upside. P/E and P/B are also less expensive than in US.
indicators:
not bullish! - but little signs of a positive trend