Pre-opening Comments for Friday January 19th
U.S. equity index futures were higher this morning. S&P 500 futures were up 26 points at 8:35 AM EST.
The Canadian Dollar slipped 0.05 at U.S.74.22 cents following release of Canada’s November Retail Sales at 8:30 AM EST. Consensus was unchanged versus a downwardly revised gain of 0.5% in October. Actual was a decline of 0.2%.
PPG Industries dropped $1.00 to $143.95 after projecting lower than consensus first quarter earnings.
![clip_image001[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/01/clip_image0011-3.png "clip_image001[1]")
Schlumberger added $0.32 to $48.88 after reporting higher than consensus fourth quarter revenues. The company also raised its dividend by 10%.
![clip_image002[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/01/clip_image0021-5.png "clip_image002[1]")
Travelers gained $10.54 to $208.89 after reporting higher than consensus fourth quarter earnings.
![clip_image003[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/01/clip_image0031-3.png "clip_image003[1]")
Texas Instruments gained $3.90 to $170.81 after UBS upgraded the stock from Neutral to Buy. Target price was raised from $170 to $195.
![clip_image004[1]](https://timingthemarket.ca/techtalk/wp-content/uploads/2024/01/clip_image0041-4.png "clip_image004[1]")
Technical Notes
NASDAQ 100 Index closed above 16,969.17 at an all-time high and its related ETF: QQQ closed above $412.92 at an all-time high.
Technology SPDRs $XLK moved above $193.72 to an all-time high. Related Semiconductor ETF $SMH moved above $176.75 to an all-time high.
Trigger for strength in the Technology sector was a move by Taiwan Semiconductor $TSM above $115.52 extending its intermediate uptrend. Leading the U.S. Technology sector was Advanced Micro Devices $AMD on a move above $164.46 to an all-time high.
S&P Exploration and Development SPDRs $XOP moved below $127.36 extending an intermediate downtrend. First Trust Natural Gas ETF $FCG moved below $22.68 extending an intermediate downtrend.
Chevron $CVX a Dow Jones Industrial Average stock moved below $140.26 extending an intermediate downtrend.
Southern Companies $SO an S&P 100 stock moved below $68.71 completing a double top pattern.
Trader’s Corner
Equity Indices and Related ETFs
Daily Seasonal/Technical Equity Trends for Jan.18th 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 Jan 18th 2024
Green: Increase from previous day
Red: Decrease from previous day
Sectors
Daily Seasonal/Technical Sector Trends for Jan.18th 2024
Green: Increase from previous day
Red: Decrease from previous day
Links offered by valued providers
Top Picks by Hap Sneddon on BNN Bloomberg
https://www.bnnbloomberg.ca/market-call
How To Build A Strong ETF Portfolio: Tom Bowley
https://www.youtube.com/watch?v=2_6GOqAQ3P8
Biggest Mistake Traders Make: Joe Rabil
https://www.youtube.com/watch?v=v6fzG-2ccBc
Strategist Who Called 2023 Stock Market Rally Gives 2024 Outlook | On The Tape Investing Podcast
https://www.youtube.com/watch?v=3KxpPGSmr54
Semi Stocks Soar + Carter Charts Disney
https://www.youtube.com/watch?v=ECiWhIxJhfw
Larry Tentarelli’s Top 5 Charts
Larry Tentarelli’s Top 5 Charts – YouTube
S&P 500 Momentum Barometers
The intermediate term Barometer added 0.60 to 73.20. It remains Overbought.
The long term Barometer added 0.60 to 70.60. It remains Overbought.
TSX Momentum Barometers
The intermediate term Barometer dropped another 1.78 to 63.11. It remains Overbought. Daily trend is down.
The long term Barometer dropped 0.89 to 54.67. It remains Neutral. Daily trend is down.
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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January 19th, 2024 at 1:16 pm
SPX new intra-day high reached today. Is it safe to own stocks yet? Semis are just doing great.
January 19th, 2024 at 2:17 pm
#1
According to the MODIFIED MACD it is…………..but that can reverse at some point as well. It all depends on how timely one needs to be.
https://stockcharts.com/h-sc/ui?s=%24SPX&p=D&yr=1&mn=0&dy=0&id=p02030283497&a=1039537764
January 21st, 2024 at 11:23 am
Larry/ON
Good question.
My concerns is that it takes at least 12 months for interest rate hikes to impact the economy. The Feds have raised interest rates multiple times in the last year, with the most recent hike was on July 26, 2023. Much of the recent stock market gains have been driven by the expectation that interest rates have peaked and will start to decline – and soon. If that is a false hope, then the current stock market gains could be building on a house of cards.