Tech Talk for Tuesday July 30th 2019

Daily Reports Add comments

Pre-opening Comments for Tuesday July 30th

U.S. equity index futures moved lower this morning. S&P 500 futures were down 12 points in pre-opening trade.

Index futures were virtually unchanged following release of economic news at 8:30 AM EDT. Consensus for June Personal Spending was an increase of 0.3% versus a gain of 0.4% in May. Actual was an increase of 0.3%. Consensus for June Personal Income was an increase of 0.4% versus a revised gain of 0.4% in May. Actual was an increase of 0.4%.

Nutrien (NTR $66.55 Cdn) is expected to open lower after the company lowered its guidance.

clip_image001

Procter & Gamble (PG $116.00) is expected to open higher after reporting higher than consensus quarterly results.

clip_image002

Merck added $2.77 to $85.26 after reporting higher than consensus second quarter earnings.

clip_image003

Capital One plunged $4.52 to $92.40 after the company reported a data breach.

clip_image004

 

EquityClock’s Daily Market Comment

Following is a link:

http://www.equityclock.com/2019/07/29/stock-market-outlook-for-july-30-2019/

Note seasonality chart on MSCI World ex U.S. Index

Upcoming BNN Appearance:

Jon Vialoux will be on BNN’s Market Call Tonight at 6:00pm ET on Wednesday, July 31st taking your calls on Technical Analysis and Seasonal Investing.  CALL TOLL-FREE 1-855-326-6266,  EMAIL marketcall@bnnbloomberg.ca,  or TWEET @MarketCall.

Observations

Traders are pessimistic about impact of Brexit on the U.K. economy.

image

image

Surprising strength in frontier equity markets!

 

StockTwits released yesterday @EquityClock

Walt Disney$DIS, a Dow Jones Industrial stock moved above $145.43 to an all-time high extending an intermediate uptrend. Response to strong Lion King sales for the second consecutive week.

image

Alexion Pharm $ALXN, a NASDAQ 100 stock moved below $112.86 extending an intermediate downtrend.

image

Mylan $MYL moved above $19.78 setting an intermediate uptrend. The company is merging its generic drug business with Pfizer’s Upjohn business

image

Pfizer $PFE, a Dow Jones Industrial stock moved below $42.01 setting an intermediate downtrend. Responding to news of a merger of off patent drugs business with Mylan

image

PayPal $PYPL, a NASDAQ 100 stock moved below $113.08 completing a double top pattern

image

Auto ETF $CARZ moved below $32.55 setting an intermediate downtrend

image

NetApp $NTAP, a NASDAQ 100 stock moved below $57.66 extending an intermediate downtrend

image

Natural Gas ETN $UNG moved below $18.34 extending an intermediate downtrend.

image

Canadian "gassy" stocks are responding to lower natural gas prices. ARC Resources and Encana break to new lows. $ARX.CA $ECA

image

Lower natural gas prices have prompted the BMO Equal Weight Canadian Energy ETF $ZEO.CA to move below $40.99 extending an intermediate downtrend

image

Editor’s Note: U.S. Oil and Gas Exploration ETF also broke to a three year lows.

image

Metro $MRU.CA, a TSX 60 stock moved above $51.64 to an all-time high extending an intermediate uptrend

image

 

Trader’s Corner

Note changes in Seasonal ratings

Equity Indices and related ETFs

Daily Seasonal/Technical Equity Trends for July 29th 2019

spx july 30

Green: Increase from previous day

Red: Decrease from previous day

 

Commodities

Daily Seasonal/Technical Commodities Trends for July 29th 2019

crb july30

Green: Increase from previous day

Red: Decrease from previous day

 

Sectors

Daily Seasonal/Technical Sector Trends for July 29th 2019

xlk july 30

Green: Increase from previous day

Red: Decrease from previous day

Don Vialoux on “Wolf on Bay Street”

Released on Saturday. Interviews with Tony Dwyer and Don Vialoux. Don Vialoux’ comments are in the second half of the interview. Tony and Don’s comments are remarkably similar: Both predict increased volatility and a mild correction into Fall followed by resumption of an upward trend late this year. Following is a link:

https://omny.fm/shows/640-toronto/the-wolf-on-bay-street-wolfgang-klein-saturday-j-7?in_playlist=640-toronto!hifi-radio-with-the-wolf-on-bay-street-wolfgang-kl

 

Technical Scoop

Thank you to David Chapman and www.enrichinvesting.com for the link to their weekly report

http://enrichedinvesting.com/wp-content/uploads/2019/07/Weakening-economic-environment-note-fund-spread-central-bank-assets-market-top-gold-temporary-top.pdf

 

S&P 500 Momentum Barometer

image

The Barometer slipped 2.20 to 76.00 yesterday. It remains intermediate overbought and continues to show early signs of rolling over.

 

TSX Momentum Barometer

image

The Barometer was unchanged at 61.64 yesterday. It remains intermediate overbought.

 

Disclaimer: Seasonality and technical ratings offered in this report and at

www.equityclock.com are for information only. They should not be considered as advice to purchase or to sell mentioned securities. Data offered in this report is believed to be accurate, but is not guaranteed

Sponsored By...



3 Responses to “Tech Talk for Tuesday July 30th 2019”

  1. Larry/ON Says:

    SP500 Again Tested and Bounced Off The 20 Day MA and mid Bollinger Band – We now have 12 trading days of what amounts to sideways direction with a rising 20day MA keeping the lows higher but RSI is very slowly slipping. Thus….

    Wait For The Fed – We should have some resolution of direction by mid Thursday morning. Trading that happens in the hour after a Fed decision is historically unreliable. Seasonality is now against the market but this market has a habit of surprising to the upside.

    Huge Increases In US Consumer Confidence Figures and Pending Home Sales Today – Signs of a strong US economy. David Rosenberg’s 2019 recession ain’t happening and it’s hard to see rates “going to zero”. 25bps insurance cut tomorrow and that’s it. Risk is no rate cut. Any “earnings recession” in US companies is largely limited to those that have a large part of their operations outside of the US. Once a deal is made with China capital spending will be unleashed.

  2. Larry/ON Says:

    VET.TO – Wash out yesterday on highest volume going back at least 5 years. If the sector stabilizes here you should see at least a dead cat bounce. I would be encouraged about the overall market if we got a rally in energy. XOP up more than 2% but this could just be a very short-term rally within a downtrend.

  3. Larry/ON Says:

    XEG.TO – Key day reversal forming. We could be seeing a reversal of trend in energy stocks. The large caps aren’t doing that much. It is the smaller names that were beaten down the most that are experiencing the biggest upside. I would stick with the US market – XOP. I’m thinking this could be an early sign of a possible overall market leg up.
    Kudos to whoever started this look at energy stocks a week ago. My point all along is that we need technical signs of bottoming at it is just starting now but I wouldn’t go all in.

Entries RSS Comments RSS Log in