Pre-opening Comments for Wednesday March 20th
U.S. equity index futures were mixed this morning. S&P 500 futures were unchanged at 8:30 AM EDT
FOMC announces its interest rate decision at 2:00 PM EDT. Consensus calls for no change in the Fed Fund Rate at 5.25%-5.50%. Focus is on comments on timing for an expected reduction in the Rate.
Chipotle advanced $81.43 to $2,878.99 after announcing a 50 for 1 stock split.
![clip_image001[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/03/clip_image0011-7.png "clip_image001[1]")
Intel gained $1.42 to $43.47 after receiving $8.5 billion from the U.S. government to build chip factories in the U.S.
![clip_image002[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/03/clip_image0021-6.png "clip_image002[1]")
General Mills gained $1.75 to $70.38 after reporting higher than consensus fiscal third quarter revenues and profits.
![clip_image003[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/03/clip_image0031-7.png "clip_image003[1]")
BioNTech dropped $6.12 to $88.00 after reporting less than consensus fiscal fourth quarter results.
![clip_image004[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/03/clip_image0041-3.png "clip_image004[1]")
Technical Notes
Energy SPDRs $XLE moved above $91.38 to an all-time high extending an intermediate uptrend.
Schlumberger $SLB a NASDAQ 100 stock moved above $54.06 extending an intermediate uptrend.
Marvell Technologies $MRVL a NASDAQ 100 stock moved below intermediate support at $63.53.
MercadoLibre $MELI a NASDAQ 100 stock moved below $1,483.64 extending an intermediate downtrend.
Intel $INTC an S&P 100 stock moved below $41.48 extending an intermediate downtrend.
Suncor: SU.TO a TSX 60 stock moved above Cdn$49.35 to an all-time high extending an intermediate uptrend.
Trader’s Corner
Equity Indices and Related ETFs
Daily Seasonal/Technical Equity Trends for March 19th 2024
Green: Increase from previous day
Red: Decrease from previous day
Source for all positive seasonality ratings: www.EquityClock.com
Commodities
Daily Seasonal/Technical Commodities Trends for March 19th 2024
Green: Increase from previous day
Red: Decrease from previous day
Sectors Daily Seasonal/Technical Sector Trends for March 19th 2024
Green: Increase from previous day
Red: Decrease from previous day
Links offered by valued providers
How Would YOU Rank the Magnificent 7 Stocks? David Keller
https://www.youtube.com/watch?v=HxNBGl2C5T0
Strength Reverses Ahead of THE FED: Tom Bowley
Strength Reverses Ahead of THE FED – YouTube
Big Tech Catch-Up Trade: Dan Nathan and Guy Adami
Big Tech Catch-Up Trade – YouTube
S&P 500 Momentum Barometers
The intermediate term Barometer added 2.40 to 74.60. It remains Overbought.
The long term Barometer added 2.28 to 80.80. It remains Overbought.
TSX Momentum Barometers
The intermediate term Barometer added 4.44 to 65.78. It remains Overbought.
The long term Barometer slipped 0.44 to 66.67. It remains Overbought.
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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March 20th, 2024 at 3:07 pm
Larry/ON and Vik
RE: XLE and energy stocks
I just read an interesting article on StockCharts by Julius de Kempenaer, who created Relative Rotation Graphs. I believe you don’t have to be a member to read it. The title sums it up: Energy is entering a long-term turnaround. Of course, he is analyzing XLE but I think it extrapolates to the Canadian energy sector. There may be a much longer up trend ahead.
https://stockcharts.com/articles/rrg/2024/03/energy-a-long-term-turnaround-594.html
March 20th, 2024 at 6:22 pm
XLE – Thanks Paula. I was leaning on the side of caution in my last post having been whipsawed by energy before. I was sitting on a mountain of long dated CNQ calls and sold half of them late last week. I’m holding onto the other half. Barometer is quite bullish on energy and the entire commodity sector in the new inflationary environment we are in and sees the sector as extremely underinvested in. The idea is that new money will come in over time into energy and materials stocks. Attached is yesterday’s Barometer webinar. It is a little long but worth watching. Analyst James Callaghan gives an update on NVDA and specifically their new Blackwell GPU that will keep them far far ahead of competition like AMD. News today on Blackwell is that pricing will be a little aggressive so that NVDA will capture large market share. They also have their ways of keeping you hooked in once you buy their product. On the video Burrows talks about commodities at 11:32 and oil specifically at 13:20.
https://barometercapital.ca/market-trends-bull-run-continues-global-resilience-and-portfolio-strategies/
March 20th, 2024 at 9:52 pm
Thanks Larry, especially for the time stamps. Will check it out tomorrow.