Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical and Quantitative Research

Vermilion Research

Vermilion’s objective is to deliver timely, actionable, and unique technical research to professional investors through the application of our various technical indicators.

Our research strategists seek to highlight securities which we believe are at major inflection points, based on our various technical and quantitative indicators, and offer asymmetric risk/return profiles. Our unique research methodology, centered on relative strength, enables our strategists to deliver superior investment recommendations.

Our process begins by organizing the universe of actively traded stocks into discrete sectors, then into industry groups. We then apply our technical and quantitative tools to identify developing price trends. Once attractive trends are identified within a selected sector or group, we screen for individual stocks which we believe offer the best risk/reward profile. We provide a historical perspective that often reveals, through our long-term charts, how price patterns often repeat themselves over time.

Technical Analysis

While a more cautious outlook is appropriate, as long as $77 holds (the September lows) we are constructive and would be buyers on a pullback. A move below $77 would start to get very concerning, and would leave $75 and the 200-day MA as last-ditch support. Considering the recent pullback we want to be sticking with areas that have continued to outperform in spite of recent broad market weakness. For that we look to the following leadership Sectors: Technology, Consumer Discretionary, Manufacturing, Materials, and Transportation

While a more cautious outlook is appropriate, as long as $77 holds (the September lows) we are constructive and would be buyers on a pullback. A move below $77 would start to get very concerning, and would leave $75 and the 200-day MA as last-ditch support. Considering the recent pullback we want to be sticking with areas that have continued to outperform in spite of recent broad market weakness. For that we look to the following leadership Sectors: Technology, Consumer Discretionary, Manufacturing, Materials, and Transportation

Key $70 support on the MSCI ACWI (ACWI-US) held strong last week, and ACWI-US is now inflecting topside its bullish falling wedge pattern. This bullish price action combined with market dynamics which remain mostly healthy lead us to believe the lows of this recent correction are in. Consumer Discretionary and Manufacturing Sectors continue to be two attractive Sectors that are outperforming globally; we highlight numerous actionable names in today's report.

Key $70 support on the MSCI ACWI (ACWI-US) held strong last week, and ACWI-US is now inflecting topside its bullish falling wedge pattern. This bullish price action combined with market dynamics which remain mostly healthy lead us to believe the lows of this recent correction are in. Consumer Discretionary and Manufacturing Sectors continue to be two attractive Sectors that are outperforming globally; we highlight numerous actionable names in today's report.

Japan/Asia Long-Short, LightStream Research

Mio Kato

Japan/Asia Long-Short

Long-Short Analysis on Japan, Asia and the World

LightStream Research

LightStream conducts quantitatively rigorous and data-driven analysis with a focus on Japan and Asia.

We consistently cover the Tech, Consumer and Industrial sectors, and provide ECM and Events coverage more broadly.

We supplement traditional qualitative insights from company relationships with a robust quantitative foundation that examines as much historical data as is available.
We further refine the accuracy of our insights and calls through the use of alternative data to flesh out current trends, and through a valuation framework that emphasises non-superficial peer group selection and a proper attempt to understand the metrics and changes that have driven security valuations in the past.

Thematic (Sector/Industry)

As the world says goodbye to Rethink Robotics' Baxter and Sawyer, we would caution against drawing the wrong inferences from the failure of this pioneer of the cobotics movement.Ultimately, while Rethink Robotics had a great idea, we believe poor execution and product fit - particularly for more demanding industrial customers were what doomed the company, rather than a weak market where, by all accounts, growth continues to steam along. While market expectations have rightly corrected.

As the world says goodbye to Rethink Robotics' Baxter and Sawyer, we would caution against drawing the wrong inferences from the failure of this pioneer of the cobotics movement.Ultimately, while Rethink Robotics had a great idea, we believe poor execution and product fit - particularly for more demanding industrial customers were what doomed the company, rather than a weak market where, by all accounts, growth continues to steam along. While market expectations have rightly corrected.

Shuttering of Rethink Robotics Just a Bump in the Road for Cobots

Doing bespoke work since 2002....., Custom Products Group

Patrick Hansen

Doing bespoke work since 2002.....

Custom Products Group

Custom Products was started 14 years ago at Lehman Brothers by current co-founder Patrick Hansen, CFA. After 3 years at Lehman, Patrick moved the team to Macquarie Securities where Simon Rigney (co-founder) joined. 3 years ago we took Custom Products independent. 

Our core strength can be summed up three words. 1- Customization - we have very little off the shelf products and most work is done on a one on one bespoke basis. 2- Speed - We pride ourselves in our ability to get requests back to the client very quickly. 3- Confidentiality - We do not redistribute. There is no grace period where we wait a week and then mass blast. Any request stops with that client.

We updated the Hated by the Street screen and added another criteria. Hated by the Street but was recently upgraded by at least 1 analyst. Large-cap names that are currently hated by the Street but were upgraded in the last month were <a href="https://www.smartkarma.com/entities/72" target="_blank" data-smartkarma-citation="entities:72:1">Nissan Motor Co Ltd (7201 JP)</a>, <a href="https://www.smartkarma.com/entities/16977" target="_blank" data-smartkarma-citation="entities:16977:1">Kirin Holdings Co Ltd (2503 JP)</a> and <a href="https://www.smartkarma.com/entities/21001" target="_blank" data-smartkarma-citation="entities:21001:1">Eisai Co Ltd (4523 JP)</a>. Nissan Motors has a 5% dividend yield so do not really know why it is hated. <h2>Screen Criteria</h2><ol>
<li>% of BUY recommendations to Total is less than 30%</li>
<li>At least 1 upgrade in the last…</li>
</ol>

We updated the Hated by the Street screen and added another criteria. Hated by the Street but was recently upgraded by at least 1 analyst. Large-cap names that are currently hated by the Street but were upgraded in the last month were Nissan Motor Co Ltd (7201 JP), Kirin Holdings Co Ltd (2503 JP) and Eisai Co Ltd (4523 JP). Nissan Motors has a 5% dividend yield so do not really know why it is hated. Screen Criteria
% of BUY recommendations to Total is less than 30%
At least 1 upgrade in the last…


Hated by the Street but Recently Upgraded. Nissan Motors Made the List....

Factory automation names are down today (Yaskawa -2.5%, Fanuc -3.2%, Nabtesco -2.4%, Harmonic Drive -4.9%, Omron -1.8%, Keyence -3.0%, SMC -1.3%, THK -3.5%, Nippon Thomson -1.7%) following continued news flow regarding additional tariffs on China. Surprisingly, machine tool names (Makino Milling +1.2%, DMG Mori +2.4%, Okuma -0.6% and Toshiba Machine +0.5%) are taking this much better. Or perhaps it's not so surprising given the PE valuations:<ul>
<li>Yaskawa - 25x</li>
<li>Fanuc - 25x</li>
<li>Nabtesco - 21x</li>
<li>Harmonic Drive -…</li>
</ul>

Factory automation names are down today (Yaskawa -2.5%, Fanuc -3.2%, Nabtesco -2.4%, Harmonic Drive -4.9%, Omron -1.8%, Keyence -3.0%, SMC -1.3%, THK -3.5%, Nippon Thomson -1.7%) following continued news flow regarding additional tariffs on China. Surprisingly, machine tool names (Makino Milling +1.2%, DMG Mori +2.4%, Okuma -0.6% and Toshiba Machine +0.5%) are taking this much better. Or perhaps it's not so surprising given the PE valuations:
Yaskawa - 25x
Fanuc - 25x
Nabtesco - 21x
Harmonic Drive -…


Japan

Nabtesco Corporation manufactures Aircraft and Hydraulic products, Precision equipment, and transportation equipment. The Company's products include landing gear system for aircrafts, railroad vehicle brake system, and precision reduction gears for industrial robots.

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Nabtesco (6268 JP)

Cautiously Optimistic on Global Equities

We are constructive on global equities and would be buyers on a pullback. A move below $77 would start to get very concerning, and would leave $75...

Vermilion Research

Global Equity Strategy:

Key $70 support on the MSCI ACWI (ACWI-US) held strong last week, and ACWI-US is now inflecting topside its bullish falling wedge pattern. This...

Vermilion Research

Shuttering of Rethink Robotics Just a Bump in the Road for Cobots

As the world says goodbye to Rethink Robotics' Baxter and Sawyer, we would caution against drawing the wrong inferences from the failure of this...

Mio Kato

Hated by the Street but Recently Upgraded. Nissan Motors Made the List....

We updated the Hated by the Street screen and added another criteria. Hated by the Street but was recently upgraded by at least 1 analyst....

Custom Products Group

Factory Automation and Trade Wars

Factory automation names are down today (Yaskawa -2.5%, Fanuc -3.2%, Nabtesco -2.4%, Harmonic Drive -4.9%, Omron -1.8%, Keyence -3.0%, SMC -1.3%,...

Mio Kato

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