Gavekal Capital: Cracks in European Momentum

Friday, July 11, 2014

Cracks in European Momentum

This week, the percent of issues above their moving averages fell across all time dimensions for MSCI Europe, registering an oversold condition on a shorter-term basis:

Looking at the data in tabular format, the momentum weakness in Europe relative to other regions and the world has become more pronounced.

MSCI Europe

MSCI World

MSCI Asia Pacific

MSCI North America

About Gavekal Capital

Gavekal Capital is a US registered investment advisory firm that manages the Gavekal Knowledge Leaders Strategy. Knowledge Leaders are a group of the world’s leading innovators with deep reservoirs of intangible capital. These companies often possess competitive advantages such as strong brand, proprietary knowledge or a unique distribution mechanism. Knowledge Leaders are largely service-based and advanced manufacturing businesses, often operating globally. Gavekal Capital seeks to identify the world’s leading knowledge companies through a proprietary process that analyzes corporate knowledge investments.
We offer the Gavekal Knowledge Leaders Strategy in multiple products for global investors. For more information about our product offerings please visit http://www.gavekalcapital.com.
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