Good morning, everyone, and welcome to Thursday morning. It’s Stephen Whiteside here from TheUpTrend.com In the pre-market this morning, stock index futures are above fair value. Commodities are mixed with crude oil, lower, while gold is higher by $3 in the pre-market. Now, we do have a lot of economic numbers coming out at 8:30 this morning, including retail sales and jobless claims, and that could certainly add to the pre-market volatility. Starting off, looking at the VIX, which spiked sharply sharply higher on on Tuesday, and we pulled back on Wednesday, had an inside day. So on Thursday, we’re looking for the VIX to close below 13.21 to put us back on a bullish footing. We still have the S&P 500, Nasdaq 100 on buy signals. They recovered nicely on Wednesday, but still pretty close to generating a daily sell signal, so we should be on guard. Looking at the Canadian market, the market recovered quite nicely on Wednesday, not enough to give us new buy signals for the The TSX, the TSX 60, mid-caps, small-caps, or micro-caps. Now, looking at the sector performance from Wednesday’s trading action, all sectors were positive for the day, being led higher by Infotec, and We’re still on a sell signal here.
We came down hard on Tuesday, and we did trade back into the channel on Wednesday. The biggest winners in the sector on Wednesday were Bitfarm and Hut8. Those were the two best-performing Infotec stocks. Then looking at the industrials, dipped into the channel on Tuesday. Big recovery on Wednesday, being led higher by the railroads, still both on buy signals. Then looking at consumer staples, huge update there. It was Circle K led the pack, followed by Loblaw’s, which is back on a buy signal as of Wednesday’s close. Looking at the world of commodities, starting in the energy sector, we saw crude oil pull back yesterday. It’s pulling back again in the pre-market. Not enough to It’s going to give us a sell signal today. And then we’ve got natural gas making a new low on Wednesday. So both of those commodities did not help the energy sector, and we did have an inside day closed unchanged on the day. So for the energy ETF, we’re looking for a close on Thursday below $15.14. Then looking at the miners, starting with the price of gold. Gold is trying to hold 2000 here. If we break that, then 1937.50 would be our next target to the downside.
And silver is trying to hold $22 and traded and closed higher yesterday. Still on a sell signal, no change there. No change for gold stocks, which made a new low yesterday, and the ETF closed down just a penny on the day. So a little bit of a recovery there. The first time something new is happening, of course, if we close above the previous day’s high, and we certainly didn’t do that yesterday. Okay, folks, that’s all for this morning’s presentation. I’m doing this ahead of the big economic numbers coming out at 8:30 this morning, and they could certainly change the direction of the market. But so far, it looks like the market wants to have a positive open on Thursday morning. Enjoy the rest of your day. Next time you’ll hear my voice is on Friday morning.
Stephen Whiteside
TheUpTrend.com
Thursday, February 15, 2024
