Focus: Europe

Focus: Europe

Market Close: Tue, 20 January 2026

Daily Insights

At market close, European markets extended their recent pullback, reflecting cautious investor sentiment amid ongoing economic uncertainties. 

The main driver was US President Trump's renewed threats to impose tariffs on European countries (including a specific 200% tariff warning on French wines and champagne) in connection with disputes over his push to acquire Greenland, France's response to related diplomatic initiatives, and criticism of the UK's Chagos Islands decision. This sparked risk-off sentiment, with luxury goods, automakers, banks, and other export-sensitive sectors hit hardest.

On the positive side, ASML Holding rose1.75% after analyst upgrades to the European semiconductors sector.

Overall, this marks a continuation of a pullback following recent record highs earlier in January, with the sell-off described as precautionary profit-taking and risk reduction. The euro strengthened slightly against the dollar, while global equities also saw broad declines.

Swing Trading Ideas (1–4 Weeks) - TEVO Methodology

There are no swing trading opportunities to report today. The TEVO methodology applies rigorous filtering criteria to identify only the highest-probability setups, and current market conditions have not produced candidates meeting these thresholds. This is a normal occurrence that reflects the system's commitment to quality over quantity.

Market Movements

European benchmarks like the DAX and Stoxx 600 declined around 1%, with broad-based weakness across most sectors except Energy, which eked out modest gains amid softer natural gas prices. Real Estate and Utilities lagged sharply, while the euro advanced against the dollar and VSTOXX volatility spiked notably week-to-date. Individual standouts included sharp rallies in select financial and biotech names, contrasting the overall downtrend. What this means: The action points to risk aversion dominating, with investors rotating away from rate-sensitive areas as yields ticked higher; however, pending reversal signals in top performers suggest potential mean-reversion plays if momentum shifts.

Market Snapshot

Equities

1D WTD
Euro Stoxx 50

-0.6%

-2.3%
CAC 40

-0.6%

-2.4%
FTSE 100

-0.7%

-1.1%
STOXX 600

-0.7%

-1.9%
DAX

-1.0%

-2.4%

Fixed Income

1D WTD
German 10Y Bund

+0.1%

+0.1%

FX

1D WTD
EUR/USD

+0.4%

+0.4%

Commodities

1D WTD
Natural Gas Future ICE

-5.0%

-5.0%

Volatility

1D WTD
VSTOXX

+0.1%

+23.4%
Focus Index Stoxx 600

Top Gainers (1-Day)

1D WTD
Wise Plc - A

▲

+16.0%

+16.2%
Qiagen Nv

+12.4%

+7.6%
Oci Nv

+7.7%

+10.3%

Top Losers (1-Day)

1D WTD
Bkw Ag

-12.9%

-14.3%
Carl Zeiss Me-Br

-5.5%

-10.1%
Nemetschek Se

-5.0%

-8.3%

Sectors (Equal-Weighted)

1D (%)

Energy
+0.2%

Consumer Sta
-0.1%

Health Care
-0.2%

Industrials
-0.6%

Financials
-0.7%

Information
-0.8%

Consumer Dis
-0.8%

Communicatio
-0.9%

Materials
-1.0%

Utilities
-1.8%

Real Estate
-1.9%

Ranked by 1-day change

Quantmatix Success Stories

Our signals delivered robust performance last week, with Medium-Term Reversal shorts and longs capturing gains up to 8.3% since Friday's triggers, highlighting Quantmatix's edge in volatile conditions.

Date Profit %
NEMETSCHEK SE (NEM:XETR) ▼ Fri, 16 Jan +8.3%
QIAGEN NV (QIA:XETR) ▲ Fri, 16 Jan +7.6%
ORSTED A/S (ORSTED:XCSE) ▼ Fri, 16 Jan +6.9%
STORA ENSO OYJ-R (STERV:XHEL) ▼ Fri, 16 Jan +6.5%
CAPGEMINI SE (CAP:XPAR) ▼ Fri, 16 Jan +5.9%
Key
Short-term signals ▲ Short-T DR ★ Short-T TopQ
Medium-term signals ▲ Medium-T DR ★ Medium-T TopQ ▲ Pending Medium-T DR ★ Pending Medium-T TopQ

Disclaimer: These insights are generated using AI and are provided for informational purposes only. They do not constitute financial advice or a recommendation to buy or sell any security. The content may be incomplete or contain errors and should not be relied upon for investment decisions. Always consult a qualified financial adviser before making financial choices.