Most people watch the FTSE 100, the leading index in the UK, and the German DAX. The former was the first major index in Europe to make a new all-time high as investors rewarded it for Brexit instead of punishing it, counter to expectations. The latter is finally within spitting distance of making a new high. It just needs to rally another 3%.

The problem is, the UK and Germany are not Europe. They’re not even representative of the situation on the continent. Just look at this chart, of the Stoxx 50. Think of it as the Dow of Europe. It holds very large-cap stocks across the Eurozone.

Does this tell a different story or what?

The Stoxx 50 didn’t top in 2007. It peaked way back in early 2000, at 5,500. Then it crashed 64% into early 2003 and only made it back to 4,500 in 2007. Then it crashed 62% into early 2009. The rally since then has been even weaker, hitting just over 3,800 in early 2015. Now it sits at just a little more than 3,400, 38% below its 2000 high. There’s slim chance it’s going to hit a new all-time high anytime soon.

There’s something else on that chart I want you to pay attention to. See the “S”, “H”, and “S” I’ve marked? That’s a potential head-and-shoulders pattern that suggests the next crash will take the index to around 1,400 in the next year or so. That’s 75% off its all-time high in 2000!

So, what’s pulling down this index?

France and southern Europe.

Greece is still bankrupt. And it faces yet another default deadline in July.

Portugal has struggled ever since the euro crisis in 2011.

Spain’s economy is growing a bit faster due to stronger demographics, but its unemployment numbers and real estate market are still in the dumps.

Italian banks have 18% non-performing loans, which comprise a third of all the bad loans in the Eurozone. Italy is the next major country to threaten to and/or default. Its FTSE MIB market peaked in 2007 at 45,000 and then crashed 75%. Its rally only took it back to 25,000 in 2015. Now it’s near 20,000, 60% off its all-time high.