Pre-opening Comments for Tuesday April 9th
U.S. equity index futures were higher this morning. S&P 500 futures were up 11 points at 8:30 AM EDT.
Gold added another $22.40 to $2,373.40 per ounce in overnight trade.
![clip_image001[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/04/clip_image0011-4.png "clip_image001[1]")
Taiwan Semiconductor is expected to open higher after the company received a $6 billion grant from the U.S. government to ramp up its semiconductor production in the U.S.
![clip_image002[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/04/clip_image0021-5.png "clip_image002[1]")
Pfizer added $0.10 to $25.68 after seeking extended approval from the FDA for its RSV shot.
![clip_image003[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/04/clip_image0031-3.png "clip_image003[1]")
Technical Notes
Platinum ETN $PPLT moved above $87.38 extending an intermediate uptrend.
Old Dominion Freight Lines $ODFL a NASDAQ 100 stock moved above $225.91 to an all-time high extending an intermediate uptrend.
Open Text $OTEX a TSX 60 stock moved below US $37.39 extending an intermediate downtrend.
VALE $VALE one of the largest base metal producers in the world moved above intermediate resistance at $12.55.
Trader’s Corner
Equity Indices and Related ETFs
Daily Seasonal/Technical Equity Trends for April 8th 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 April 8th 2024
Green: Increase from previous day
Red: Decrease from previous day
Sectors
Daily Seasonal/Technical Sector Trends for April 8th 2024
Green: Increase from previous day
Red: Decrease from previous day
Links offered by valued providers
Make-or-Break Week for the Stock Market: Guy Adami and Dan Nathan
Make-or-Break Week for the Stock Market – YouTube
Charles Schwab’s Liz Ann Sonders: For now, the market has been fairly resilient
Charles Schwab’s Liz Ann Sonders: For now, the market has been fairly resilient – YouTube
Eric Nuttall: We remain bullish on oil but don’t expect it to reach US$100
Eric Nuttall: We remain bullish on oil but don’t expect it to reach US$100 – YouTube
S&P 500 Momentum Barometers
The intermediate term Barometer added 1.60 to 74.40. It remains Overbought.
The long term Barometer added 1.00 to 79.60. It remains Overbought.
TSX Momentum Barometers
The intermediate term Barometer added 1.34 to 67.86. It remains Overbought.
The long term Barometers added 1.34 to 72.77. 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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April 9th, 2024 at 1:11 pm
Hi RonBC, you sparked my interest in REITS. I have begun taking a look at them and thought I would share what I found out so far (you may know all this?):
The tax treatment of the distributions: usually 3 types: other income, capital gains and return of capital. The “other income” is taxed at your marginal rate. The other type are taxed as capital gain. It varies from REIT to REIT how they pay their distributions.
There are ETF REITS like XRE.to for which you provided the chart. That ETF tracks an index of REITS. The issue with ETF’s like XREto they have the good, the bad and the ugly. For example 31% retail property. I would prefer to stay away from retail / commercial and go with apartment and residential.
April 9th, 2024 at 1:30 pm
Further on the REITS: I am looking at 3
CAR/un.to – Canadian Apartments,
MRG/un.to – Morguard is diversified into US residential
CRT/un.to – Canadian Tire REIT – distribution is strong at 6.53%
I am interested in any and all feedback and points of view. Thinking that REITs may get their time in the sun, with interest rates poised to start decreasing.
April 9th, 2024 at 1:58 pm
Regarding REITs: One method of investing is to look for “turn around” companies. You have to ask yourself if you are in a bull-market that has been going on for months why would you stick your neck out and invest in a “turn around story” when there are all sorts of sectors and companies that are performing well. Why go to the bottom of the food chain? Stick with what is working. If REITs could not perform well in a bull-market they are shunned for a reason and that is primarily because they tend to be debt heavy and are renewing debt at higher rates. Commercial real estate is dead and buried with an 18% vacancy rate in downtown Toronto. Barry Schwartz was just on BNN and his take (along with most fund managers) is to avoid the whole sector but for one REIT which is GRT.
April 9th, 2024 at 2:27 pm
Thanks Larry/ON – I really appreciate hearing different perspectives, thank you for taking the time to reply.
I agree the Granite REIT (GRT) is a strong industrial REIT I am looking at.
I work at having a diversified portfolio, which is one of my core requirements. So the REITS are just part of diversifying.
April 9th, 2024 at 2:57 pm
cant post message. Error…………….
April 9th, 2024 at 7:46 pm
https://stockcharts.com/h-sc/ui?s=XRE.TO&p=D&yr=20&mn=0&dy=0&id=p97553610984&a=673066271