Last weekend I suggest that Lanxess would be the right investment.
Well, overall the week did not go very well. The expected correction on the market took place on Thursday. The DAX lost 1.1% and went back into his channel. We do not know if the correction is finished but I doubt it. The DAX is still running at the upper channel line.
Lanxess did well until Wednesday. The stock increased from 57.21 Euros to 58.62 Euros. An increase of 2.5%. The DAX increased from 8398 to 8531. An increase of 1.6%. Lanxess beat the DAX. But the correction of Lanxess on Thursday and Friday was bigger than the DAX. Based on the whole week the DAX lost 1.1% and Lanxess 1.3%.
While I am confident the DAX correction will continue on Monday I am not sure about Lanxess. The indicators are still looking good. But the trend is getting weak and has meanwhile an ADX of 27. Overall I am still bullish, the paper has still a positive channel. But there is a possibility the stock will go to the lower end of his channel next week, around 54 Euros.
But as always: just my 5 cents
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