Momentum Fusion: European Equity Trend-Following Technical & fundamental trend capture, signal blending and crash-risk control

Research evidence excerpt

Momentum Fusion: European Equity Trend-Following Technical & fundamental trend capture, signal blending and crash-risk control

J P M O R G A N Global Markets Strategy

29 June 2026

Momentum Fusion: European

Equity Trend-Following

Technical & fundamental trend capture, signal blending

and crash-risk control

Momentum investing relies on the persistence of trends; the real challenge is European Quantitative Strategy

ACknowing which deserve capital and which are crash-risk in disguise. In this Ayub Hanif, PhD

European-focused version of our Global Momentum Fusion note, we build a (44-20) 7742-5620

disciplined framework by testing signals across technical, fundamental, sentiment, ayub.hanif@jpmorgan.com

and NLP families, then combine the strongest into a more resilient Momentum William Summer

Composite. This framework moves from signal discovery to portfolio (44-20) 7742-6079

construction: build composites, scale for crash-risk, purify exposures, control william.summer@jpmorgan.com

transaction costs, and condition allocations with drawdown tools. The result is a Global Head of Quantitative Strategy

full process, not a single signal: 1) identify persistent trends, 2) confirm with Khuram Chaudhry AC

technical and fundamental signals, 3) scale exposure when risk regimes (44-20) 7134-6297

deteriorate, and 4) implement where alpha survives real-world frictions. khuram.chaudhry@jpmorgan.com

J.P. Morgan Securities plc

• Momentum: All Factors Count, Composites Compound

Momentum is not a single signal; signal design matters as much as the style

label. On the technical side, the strongest results come from medium-term price Momentum - L/S MSCI Europe

persistence that excludes the most recent month, with 12M-1M Price Technical Momentum Composite

5500 Fundamental Momentum Composite