Tech Talk for Thursday January 6th 2022

Daily Reports Add comments

Pre-opening Comments for Thursday January 6th

U.S. equity index futures were mixed this morning. At 7:30 AM EST, S&P 500 futures were unchanged.

Index futures were relatively quiet prior to release of the U.S. November Trade Balance report at 8:30 AM EST. Consensus is a deficit of $70.00 billion versus a deficit of $67.10 billion in October.

The Canadian Dollar was virtually unchanged at prior to release of Canada’s November Trade Balance report at 8:30 AM EST. Consensus is a surplus of $2.06 billion versus a surplus of $2.07 billion in October.

Crude oil advanced $1.17 to US$79.00 on news that colder than average temperatures and stormy winter weather has disrupted supply.

clip_image001[1]

Costco gained $0.73 to $550.65 after the company announced a 16.2% increase in December sales.

clip_image002[1]

 

EquityClock’s Daily Comment

Following is a link:

http://www.equityclock.com/2022/01/05/stock-market-outlook-for-january-6-2022/

 

OOOPs

Minutes for the last FOMC meeting released at 2:00 PM EST yesterday had a surprising and significant negative impact on U.S. equity prices. The minutes implied that tapering of monetary stimulus could end sooner and faster than previously expected by Wall Street.

clip_image001

The NASDAQ Composite Index was particularly hard hit.

clip_image002

The U.S. Dollar Index and its related ETN moved higher.

clip_image003

The yield on long term U.S. Treasuries moved higher.

clip_image003[1]

 

Technical Notes released yesterday at

StockTwits.com@EquityClock

The tailwind to the equity market during the Santa Claus rally period has shifted, which could mean a tougher period for stocks through the remainder of this month. equityclock.com/2022/01/04/… $STUDY $UUP $USD.X $USDX

clip_image004
Europe iShares $IEV moved above $55.17 to an all-time high extending an intermediate uptrend.

clip_image005

Cameco $CCO.CA a TSX 60 stock is up 8.8% and related uranium ETF $URA is up 4.8% after the Kazakhstan government resigned in the middle of massive political protests. The country produces 42% of the world’s uranium oxide. Seasonal influences are favourable to the end of February. If a subscriber to EquityClock. see seasonality chart at https://charts.equityclock.com/cameco-corporation-tsecco-seasonal-chart

clip_image006

Energy equities on both sides of the border are responding to higher WTI and Western Canadian crude oil prices. Cdn. energy iShares $XEG.CA moved above $11.02 extending an intermediate uptrend. Suncor $SU.CA moved above $33.88 extending an intemediate uptrend. Seasonal influences for the sector are favourable to late April. If a subscriber to EquityClock, see seasonality chart at https://charts.equityclock.com/ishares-sptsx-capped-energy-index-etf-tsexeg-seasonal-chart

clip_image007

Another Canadian energy equity breakout! Cenovus $CVE.CA a TSX 60 stock moved above $16.73 extending an intermediate uptrend.

clip_image008

U.S. energy stocks also strong ConocoPhillip $COP an S&P 100 stock moved above $77.30 extending an intermediate uptrend.

clip_image009

Metals and Mining SPDRs $XME moved above $47.60 to an all-time high extending an intermediate uptrend. Seasonal influences are favourable to the end of April. If a subscriber to EquityClock, see seasonal chart at https://charts.equityclock.com/spdr-sp-metals-and-mining-etf-nysexme-seasonal-chart

clip_image010

Steel ETF $SLX moved above intermediate resistance at $54.83. Seasonal influences are favourable to the end of April. If a subscriber to EquityClock, see seasonality chart at https://charts.equityclock.com/vaneck-vectors-steel-etf-nyseslx-seasonal-chart

clip_image011

Another base metals stock breakout! First Quantum $FM.CA a TSX 60 stock moved above $30.90 resuming an intermediate uptrend. Seasonality is favourable to May. If a subscriber to EquityClock, see seasonality chart at https://charts.equityclock.com/first-quantum-minerals-limited-tsefm-seasonal-chart

clip_image012

Micron $MU a NASDAQ 100 stock moved above $96.72 to an all-time high extending an intermediate uptrend. Seasonal influences are favourable to April. If a subscriber to EquityClock, see seasonality chart at https://charts.equityclock.com/micron-technology-inc-nasdaqmu-seasonal-chart

clip_image013

Another semi-conductor stock, Intel $INTC an S&P 100 stock moved above $55.00 extending an intermediate uptrend.

clip_image014

Honeywell $HON a Dow Jones Industrial Average stock moved above $211.54 completing a short term double bottom pattern. Seasonal influences are favourable to May. If a subscriber to EquityClock, see seasonality chart at https://charts.equityclock.com/honeywell-international-inc-nysehon-seasonal-chart

clip_image015

Industrial SPDRs $XLI moved above $107.24 to an all-time high extending an intermediate uptrend.

clip_image016

Verizon $VZ a Dow Jones Industrial Average stock moved above intermediate resistance at $53.93.

clip_image017

Alphabet $GOOG and $GOOGL are leading U.S. equity markets on the downside this afternoon. GOOG moved below $2812.94 and GOOGL moved below $2786.42 competing double top patterns.

clip_image018

Microsoft $MSFT a Dow Jones Industrial Average stock also led the technology sector on the downside, completing a double top pattern on a move below $318.03

clip_image019

Adobe $ADBE a NASDAQ 100 stock moved below $538.05 extending an intermediate downtrend.

clip_image020

Salesforce $CRM a Dow Jones Industrial Average stock moved below $245.25 and $234.31 extending an intermediate downtrend.

clip_image021

Intuit $INTU a NASDAQ 100 stock moved below $599.27 extending an intermediate downtrend.

clip_image022

Another technology stock break down! ANSYS $ANSS a NASDAQ 100 stock moved below $379.23 completing a double top pattern.

clip_image023

Biotech ETF $BBH moved below $180.31 extending an intermediate downtrend.

Editor’s Note: The most actively traded biotech ETF: $IBB moved below $$143.21 completing a similar technical pattern.

clip_image024

Chinese related ETFs and stocks are under technical pressure again. China Large Cap iShares $FXI moved below $35.38 extending an intermediate downtrend.

clip_image025

Lululemon $LULU a Chinese influenced stock moved below $366.45 extending an intermediate downtrend;

clip_image026

Russia ETF $RSX moved below $25.16 extending an intermediate downtrend.

clip_image027

Rogers Communications $RCI.B.CA a TSX 60 stock moved above $60.49 completing a double bottom pattern.

clip_image028

 

Trader’s Corner

Equity Indices and Related ETFs

Daily Seasonal/Technical Equity Trends for Jan.5th 2022

clip_image030

Green: Increase from previous day

Red: Decrease from previous day

 

Commodities

Daily Seasonal/Technical Commodities Trends for Jan.5th 2022

clip_image032

Green: Increase from previous day

Red: Decrease from previous day


Sectors

Daily Seasonal/Technical Sector Trends for Jan.5th 2021

clip_image034

Green: Increase from previous day

Red: Decrease from previous day

All seasonality ratings are based on performance relative to the S&P 500 Index (except TSX)

 

Links offered by valued providers

Market Buzz

Greg Schnell offers “New names rotating into 2022. Following is a link:

https://www.youtube.com/watch?v=kxTByMmmGW0

 

Thank you to Mark Bunting and www.uncommonsenseinvestor.com for links to the following:

Best Stock Ideas From Our All-Star Roster – Uncommon Sense Investor

Seven Canadian Stocks Among RBC’s Top 30 Global Ideas For 2022 – Uncommon Sense Investor

 

S&P 500 Momentum Barometers

clip_image035

The intermediate term Barometer plunged 10.02 to 68.14 yesterday. It remains Overbought and showing early signs of rolling over.

clip_image036

The long term Barometer dropped 3.41 to 73.15 yesterday. It remains Overbought and showing early signs of rolling over.

 

TSX Momentum Barometers

clip_image037

The intermediate term Barometer dropped 6.31 to 46.85 yesterday. It remains Neutral and showing early signs of rolling over.

clip_image038

The long term Barometer dropped 4.50 to 58.11 yesterday. It changed from Overbought to Neutral on a drop below 60.00 and shows early signs of rolling over.

 

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




Comments are closed.

Entries RSS Comments RSS Log in