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 and Quantitative Research

Defensives Leading; Concerns Persist. Actionable Themes: Staples, Utilities, Energy, Transports

Can Strength Continue for Korea, Taiwan, and EM?; Remain Overweight But Be Prepared for Volatility

Pullback Offering Buying Opportunities; Crucial Support at $141.50 on ACWI-US Holding for Now

Emerging Markets Leading the Way; Buying Energy; Crude Oil Bottoming -- Buy

Breakouts Galore in All MSCI Global Indexes; Bullish Outlook Intact

Upgrading Spain to Overweight; EM Uptrend Break; Buys in Discretionary, Financials, Materials

Technical Analyst, Vermilion Research

Joe Jasper

Technical Analyst

Technical Analysis

<ul>
<li>We are not fighting the trend with all the MSCI global indexes (MSCI ACWI, EAFE, ACWI ex-US, and EM) hitting multi-year highs, but we are monitoring a few potential concerns</li>
<li>Concerns: notably global Consumer Staples (KXI-US) near 5.5-month RS highs, crude oil prices bottoming, and gasoline prices (UGA) breaking out from a 3.5+ year downtrend</li>
<li>Actionable Themes: Energy, Materials, Transports, Real Estate, Telecom, and Utilities. Remain Overweight Emerging Markets, Taiwan, Korea, Spain, Japan, and Canada</li>
</ul>


We are not fighting the trend with all the MSCI global indexes (MSCI ACWI, EAFE, ACWI ex-US, and EM) hitting multi-year highs, but we are monitoring a few potential concerns
Concerns: notably global Consumer Staples (KXI-US) near 5.5-month RS highs, crude oil prices bottoming, and gasoline prices (UGA) breaking out from a 3.5+ year downtrend
Actionable Themes: Energy, Materials, Transports, Real Estate, Telecom, and Utilities. Remain Overweight Emerging Markets, Taiwan, Korea, Spain, Japan, and Canada


Guangdong Hec Technology Holding (600673 CH)

Companhia de Saneamento Basico do Estado de Sao Paulo SABESP (SBS US)

Companhia de Saneamento Basico do Estado de Sao Paulo SABESP

Opportunity in Global Cyclical Value and Defensives: Energy, Materials, Real Estate, Telecom, Utes

Keppel

Opportunity in Global Cyclical Value and Defensives: Energy, Materials, Real Estate, Telecom, Utes