Eoin Treacy's view From late March we highlighted that a number of the shares we have dubbed Autonomies for their global reach, strong brand recognition, healthy balance sheets and often reliable dividends had become overextended and were susceptible to a mean reversion. While some of the highest fliers are still in a reversionary process a number are beginning to show signs that they have found support in the region of their respective 200-day MAs and are beginning to rally once more. A number of others appear likely to break out of their respective ranges. I thought it might be instructive to highlight the relevant shares.

McDonalds, Cisco, Bristol Myers Squibb, Eli Lilly, Sanofi, Merck and GlaxoSmithKline all recently found support in the region of their respective 200-day MAs.

PepsiCo, Google, Unilever, Nestle, Heinz, Johnson & Johnson, Reckitt Benckiser, LVMH, Compagnie Financiere Richemont, BMW, Christian Dior and Air Liquide are all potential breakout candidates having spent a reasonable length of time ranging mostly above their MAs.

Nike, IBM, Novellus and Qualcomm all found support this week following at least partial reversions towards their respective means.