- Good morning everyone.
Welcome to Friday morning. .
- In the premarket this morning we see Asian .
- markets closed higher
overnight, we've got. .
- European markets trading
higher this morning and. .
- We'Ve got stock index futures in North. .
- America trading slightly above fair value. .
- So so far it looks like we're
going to have a quiet to a. .
- Positive opening at 930 Friday morning. .
- Lots of interesting stuff going on. .
- We've had a lot of after hours activity
and I guess Netflix led that off. .
- Netflix reported after hours last night, .
- it traded down to the lower channel line
yesterday but did not close below it. .
- So it's still on a buy signal here. .
- It is trading up nicely in the pre market .
- this morning, trading back up at the
levels we saw a couple of days ago. .
- And so this stock has recently made a .
- higher high and it might be
able to do that again today. .
- Our next mathematical target just
above the recent highs is 343 75. .
- And so if you're still long Netflix, I'd .
- be wanting to take some money
off the table up at that level. .
- Looking at the Dow, we talked about the
Dow diamonds being back on a sell signal. .
- We also talked about the early warning
signal at the top of the screen. .
- Now that is also true for the Dow
Transports and the Dow Utilities. .
- Now speaking of after hours action, a
couple of stocks announced layoffs today .
- and so we've got Alphabet
laying a bunch of people off. .
- It is trading higher this
morning, still on a buy signal. .
- Wayfair is also laying off a bunch of
people and just like Netflix, we traded .
- down to the lower channel line
yesterday, did not close below it. .
- We were down $2.13 at the close yesterday. .
- We're up $2.34 in the
pre market this morning. .
- So we'll be up at the upper channel
line at the open on Friday morning. .
- Now a lot of strange things have
happened in the past few weeks. .
- Of course we've got a nice rally to start
January off, but we're also seeing money .
- come out of consumer staples
ahead of consumer discretionary. .
- Now the market has been acting as if
the recession is already over, but. .
- At the same time you can see corporations .
- are acting as it is still coming such as
Alphabet and Wayfair are continuing to lay .
- people off, that is
ahead of the recession. .
- They're not doing that because the .
- recession is over and things
are starting to turn around. .
- Now the metals have had a good week so
far, so copper and gold both making new .
- highs this week and so that's
helped the mining sector. .
- So the GDX is still in play here inside
day yesterday, still on a buy signal. .
- Similar situation for the XEG,
both still on buy signals here. .
- So no change there. .
- Now I've been waiting for the
energy sector to come back. .
- We've got crude oil on a buy signal. .
- You can see that we recently put in a .
- higher low, and then we
put in a higher high. .
- So that's a bullish sign for crude oil. .
- Unfortunately, we're not seeing that sort
of action for natural gas at the moment. .
- Crude oil is trading up in the pre market .
- natural gas is trading down slightly
in the pre market on Friday morning. .
- So the XLE is still on a buy signal here. .
- And the XEG is also still
on a buy signal here. .
- So still looking for the energy sector
to continue to move higher from here. .
- Now, the SPY ETF traded down to
the lower channel line yesterday. .
- Still looking for a close on Friday
below 388 49 to give us a sell signal. .
- Q's, traded back in the channel yesterday, .
- looking for a close
below 271 77 on Friday. .
- And looking at the I shares for the TSX
60, we need a close below $30.0.57. Now .
- looking in the opposite direction,
the VIX is still on a sell signal. .
- Traded up to the upper channel line .
- yesterday, looking for a
close on Friday above 21. .
- 48 to give us a buy signal. .
- And that, of course, would
be negative for stocks. .
- Okay, folks, that is all for
this morning's presentation. .
- Again, it looks like we're going to see a .
- little bit of buying at the
open on Friday morning. .
- Enjoy the rest of your day. .
- Enjoy your weekend. .
- Next time you'll hear from
us will be on Sunday. .
- Thank you. .