Pre-opening Comments for Friday September 9th
U.S. equity index futures were higher this morning. S&P 500 futures were up 30 points in pre-opening trade.
The Canadian Dollar dropped 0.15 to US76.70 cents following release of Canada’s August Employment report at 8:30 AM EDT. Consensus was an increase of 15,000 jobs versus a decline of 30,600 in July. Actual was a drop of 39,700. Consensus for the August Unemployment Rate was an increase to 5.0% from 4.9% in July. Actual was an increase to 5.4%.
DocuSign advanced $10.50 to $68.39 after reporting higher than consensus second quarter revenues and earnings. The company also offered positive third quarter guidance.
![clip_image001[1]](http://www.timingthemarket.ca/techtalk/wp-content/uploads/2022/09/clip_image0011-4.png "clip_image001[1]")
Smith & Wesson dropped $0.99 to $12.44 after reporting lower than consensus fiscal first quarter sales.
![clip_image002[1]](http://www.timingthemarket.ca/techtalk/wp-content/uploads/2022/09/clip_image0021-5.png "clip_image002[1]")
Regeneron advanced $5.65 to $714.50 after Morgan Stanley upgraded the stock from Equal Weight to Overweight.
![clip_image003[1]](http://www.timingthemarket.ca/techtalk/wp-content/uploads/2022/09/clip_image0031-3.png "clip_image003[1]")
EquityClock’s Daily Comment
Headline reads “Are Banks providing yet another leading indication that the intermediate-term trend of the broader market is shifting”?
http://www.equityclock.com/2022/09/08/stock-market-outlook-for-september-9-2022/
Upcoming Event…
Using Seasonality to Determine Where We Are in the Economic Cycle (Recession)? and How to Invest
Saturday, September 17, 2022 |
3:00 pm – 3:45 pm EDT
Some leading indicators are hinting that we are on the path towards an economic recession, traditionally an ideal time to abandon risk in portfolios. Jon Vialoux will show you what he’s looking at and how to best position your portfolio using seasonal analysis.
Click on the following registration link to book your FREE spot to our presentation: Register Now
Technical Notes for yesterday
Regeneron $REGN a NASDAQ 100 stock moved above $652.52 extending an intermediate uptrend.
Restaurant Brands International $QSR.TO, a TSX 60 stock moved above Cdn$78.76 extending an intermediate uptrend. 
CCL Industries $CCL.B a TSX 60 stock moved above $66.17 extending an intermediate uptrend.
Loblaw Companies $LTO a TSX 60 stock moved below intermediate support at $114.74.
Technical score for Palladium increased from 0 to 6 yesterday:
· Relative strength turned positive
· Momentum indicators (RSI, MACD, Stochastic) turned higher
· Moved above its 20, 50 and 200 day moving averages.
Trader’s Corner
Equity Indices and Related ETFs
Daily Seasonal/Technical Equity Trends for September 8th 2022
Green: Increase from previous day
Red: Decrease from previous day
Commodities
Daily Seasonal/Technical Commodities Trends for September 8th 2022
Green: Increase from previous day
Red: Decrease from previous day
Sectors
Daily Seasonal/Technical Sector Trends for September 8th 2021
Green: Increase from previous day
Red: Decrease from previous day
Links offered by valued providers
Tom Bowley says “S&P 500 holds critical support”
S&P 500 Holds Critical Support | Tom Bowley | Trading Places (09.08.22) – YouTube
Jeff Huge asks “1987 Redux using Elliott Wave Analysis?
1987 Redux? | Jeffrey Huge, CMT | Your Daily Five (09.08.22) – YouTube
S&P 500 Momentum Barometers
The intermediate term Barometer added another 7.00 to 57.00 yesterday. It remains Neutral. Trend is up.
The long term Barometer added 2.20 to 36.00 yesterday. It remains Oversold. Trend is up.
TSX Momentum Barometers
The intermediate term Barometer added 3.13 to 45.57 yesterday. It remains Neutral. Trend is up.
The long term Barometer added 0.55 to 31.22 yesterday. It remains Oversold.
Disclaimer: Seasonality ratings 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
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September 10th, 2022 at 9:20 am
Biotech ETF, XBI
First highlighted by Paula several months ago. On the weekly chart, XBI may be forming a Head & Shoulders bottom – maybe. It is really too early to make that call, it is just an observation. I would be more encouraged if the MACD(50,200,10) made a bullish cross of the signal line.
https://schrts.co/cSmbcitc
September 10th, 2022 at 5:11 pm
FishFat
Thanks for the chart & comments. Here is a Daily chart of XBI. It has a good message in it as well. Price broke below 81 in May and recleared it in July retesting it several times successfully. Then running up to its downtrendline and pulling back to 81,now support. Note the 20ema has been above the 50ema since early July. Been a long time since that has happened. Clearing that downtrendline would strongly suggest a breakout above 95 and a quick run up to 118.
https://stockcharts.com/h-sc/ui?s=XBI&p=D&yr=2&mn=0&dy=0&id=p90046414947&a=1248080089
September 10th, 2022 at 11:52 pm
“IF” the U.S$ pulls back any further it could sell off sharply. That being the case one could expect a lot of markets to rally sharply. Ex.$Gold/$Silver and many other inverse markets. Lots of “W” patterns out there………………
September 11th, 2022 at 9:25 am
Ron/BC re:XBI
Yes, the daily chart reveals a few more bullish characteristics. Besides the positive moving average cross you mentioned, there is also the PPO that looks set to make a bullish cross of the signal line, strength relative to the SPX is positive, and the MACD(50,200,10) is holding above the signal line. On the downside, there is a lot of overhead resistance and a thousand things could still go wrong (especially in the month of September) but overall, not a bad looking chart.
https://schrts.co/kuNDUkHx
September 11th, 2022 at 4:21 pm
FishFat and Ron/BC,
Thanks to both of you for your charts and comments.
FishFat, thanks for referencing me on XBI. I agree with your and Ron/BC’s comments on XBI, but I am reluctant to put much money into the market at this time. Sold my XBI in mid August, waiting for a better entry on a major market swoosh. In spite of saying that, I did dip my toe into GDX. It is definitely a short term trade, thinking it could bounce to at least the 50EMA ~ 26. If it can clear the 50EMA, the next level of resistance is ~ 27.50. There would be strong resistance after that all the way up to the descending 200EMA, currently ~ 30.35. I am starting to think that the only way to trade gold stocks is to wait for extreme oversold patterns when there is a likelihood of a mean reversion. As Ron/BC points out, this is something to consider when the USD pulls back which it seems to be doing.
https://schrts.co/eTQiaAXw