Why I'm buying this breakout market today
Source: Daily Crux
http://thecrux.com/sjuggerud-why-im-buy ... ket-today/
The iShares MSCI Spain Capped Fund (EWP) broke out to a new 52-week high earlier this month.
The euro zone is the economic and monetary union of 19 of the 28 European states that have adopted the euro as their common currency.
Collectively, the euro zone’s nominal gross domestic product (GDP) reached €10.7 (US$11.8) trillion in 2016, making it the second largest economy in the world if considered as a single country.
SPDR EURO STOXX 50 ETF (NYSE: FEZ).
With net assets of $2.78 billion and a low expense ratio of 0.29%, FEZ invests in the stocks of the largest companies across components of the 19 EURO STOXX “Supersector Indexes.”
FEZ’s top holdings include Daimler, Bayer (OTC: BAYRY), Siemens (OTC: SIEGY), Banco Santander (NYSE: SAN), Sanofi (NYSE: SNY), and SAP (NYSE: SAP). Year to date, FEZ has racked up a total return of 8.85%.
SPDR EURO STOXX 50 ETF (NYSE: FEZ)
With net assets of $2.78 billion and a low expense ratio of 0.29%, FEZ invests in the stocks of the largest companies across components of the 19 EURO STOXX “Supersector Indexes.”
FEZ’s top holdings include Daimler, Bayer (OTC: BAYRY), Siemens (OTC: SIEGY), Banco Santander (NYSE: SAN), Sanofi (NYSE: SNY), and SAP (NYSE: SAP).
Year to date, FEZ has racked up a total return of 8.85%.
Shah recommends the Direxion Daily European Financials Bear 1x Shares ETF (NYSE Arca: EUFS) to short the banks in the Eurozone. The fund is set up to gain the same amount that the European Financials Index loses in a day.
To short the euro, Shah recommends the ProShares Ultrashort Euro ETF (NYSE Arca: EUO). The goal of this fund is to gain twice the daily losses of the euro. If the euro declines by 5%, you stand to make 10%. Both will allow you to profit from the uncertainty in the Eurozone.
The Bottom Line: While some investors are panicking after this week’s Greek debt news, that’s the worst thing you can do. Even though they did not get a deal yesterday, they will eventually get one. Until that happens, take advantage of the dip and profit from the euro and Eurozone banks.
Return to AMERICAS & EUROPE: Data, News & Commentaries
Users browsing this forum: No registered users and 2 guests