Bad Chart of the Day: Euro Stoxx 50 ETF (NYSE: FEZ)

Monday’s selloff confirmed the fact that European stocks are among the weakest in the world.

SPDR Euro STOXX 50 ETF (NYSE: FEZ) was already in a downtrend.

This week’s selling pushed the ETF below an important support level.

The short term target for FEZ is $35. November $37 puts could double in value as the ETF approaches that target.

European stocks are likely to remain weak into the end of the year as the economy continues to weaken, concerns about Brexit rise and the realization that the European Central Bank has no tools to stimulate the economy available sinks in.

© Chart courtesy of Today’s Profits. All rights reserved.