- Good morning everyone.
Welcome to Tuesday morning. .
- It's Stephen Whiteside
here from TheUpTrend.com. .
- Well, we saw a little tension in the
market yesterday, not enough to give .
- us any major trend changes. .
- Things are fairly quiet on Tuesday .
- morning, so let's dive in and take a
look at yesterday's trading action. .
- Starting off, take a look at, at the VIX. .
- The VIX did close higher yesterday, didn't
close above the previous days high. .
- Still trading below the lower channel
line, so no major damage so far. .
- Looking for a close above 22. .
- 40 on Tuesday to give us
a buy signal for the VIX. .
- Of course, a VIX on a buy signal
is quite negative for stocks. .
- US Dollar Index made a new low yesterday .
- before reversing closing
higher on the day. .
- Again, we're still trading below the lower .
- Channel line, so no damage
to the stock market so far. .
- And bonds had a fairly
quiet day yesterday. .
- Inside day for the 30 year bond. .
- Moving on to commodities, the price of .
- gold had a wild day on Tuesday,
made a new high for this move, .
- before losing it all going into the close. .
- Certainly closed below the previous days
low, so that's looking bearish things .
- would change for gold on Tuesday
with the close below 1762. .
- 93. .
- Now we had a similar wild day for crude .
- oil trading up above the upper
channel line before losing it all. .
- Going into the close. .
- We are still on a daily sell signal for .
- crude oil and we're still on a
daily sell signal for natural gas. .
- Not only was natural gas down sharply .
- again on Tuesday, it also closed below
the previous low from back in October. .
- So that's a bearish sign. .
- Now looking at the major stock market .
- index ETF's, we saw the Dow diamonds
move back into the channel. .
- Looking for a close on
Tuesday below 338.01. .
- Looking at the SPY, we
need a close below 396. .
- 78. .
- Looking at the triple Q's, we're
looking for a close below 283. .
- 65. .
- And then looking at the Canadian market, .
- the Ishares for the TSX 60, sitting right
on the edge of a new daily sell signal. .
- Looking for a close below 30. .
- 92 on Tuesday to give us a
sell signal for the Ishares. .
- Now, what's holding the TSX back? .
- Well, of course, weakness
and commodities yesterday, .
- did not help at all. .
- And looking at the Ishares for the energy .
- sector coming down and testing
the lows from back in November. .
- Similar situation in the US. .
- With the Spider energy ETF coming back. .
- To those previous lows, and we
may break those on Tuesday. .
- And then looking at gold miners, the GDX .
- was down 3.61 percent yesterday, sitting
right at the upper channel line. .
- Closed on Tuesday below 28.04
would give us a sell signal. .
- Not as much selling in
the Canadian market. .
- Remember, it is a global gold
index, not just Canadian stocks. .
- We saw a move down of 1.85 percent, did .
- not close below the previous days low,
so holding up better than the GDX. .
- Then a couple of technology stocks. .
- Apple had a wild day yesterday. .
- It traded above the upper channel line
before losing it going into the close. .
- So we are still on a daily
sell signal for Apple. .
- We're still on a daily
buy signal for Tesla. .
- But we came right back down to the lower .
- channel line looking
for a close below 181. .
- 59 on Tuesday to give
us a sell signal there. .
- And last up, Chinese stocks have been .
- performing really well
over the past month. .
- I haven't focused on them. .
- I do not want to encourage
people to get involved. .
- But there's baidu. .
- Baidu's had a great couple of weeks.
Now. .
- Obviously, in hindsight,
taking the signals would .
- have been very profitable. .
- But only anything Chinese is like
playing musical chairs right now. .
- You don't know what's
going to happen next. .
- They still have huge economic risks. .
- They've got social unrest and they've got .
- those droughts that are really
holding the country back. .
- So don't know what's going to snap next,
but something's probably going to snap and .
- that's probably take the
Chinese stock market down. .
- And then of course, you've got the US. .
- Government delisting a lot of these .
- companies and that's
been going on all year. .
- So, yeah, the charts are working. .
- You could have made money, and I just am .
- not going to recommend anybody get
involved in the Chinese stock market. .
- Okay, folks, that's all
for Tuesday morning. .
- Thank you very much for
your time and attention. .
- And the next time you'll hear my .
- voice is on Wednesday morning, you. .