• Good Morning, everyone, and welcome to Wednesday morning. .
• It's Stephen Whiteside here from theuptrend. .
• com with a midweek look at the Canadian stock market. .
• Well, today's all about the Fed. .
• We are expecting a 25 basis point rate hike. .
• If the Fed deviates from that at all, that could spark some market excitement. .
• The VIX has been treading water for the .
• past couple of days in anticipation of the Fed meeting. .
• We need to close above 14.20 to tell us the market wants to go bearish. .
• If we start closing below 13.55, that .
• would be a sign that the market wants to continue to move higher. .
• Now, the TSX and the TSX 60 had a small pullback yesterday. .
• We are up at resistance. .
• If we can take out the April highs, then .
• we can look two lines up to a new playing field. .
• The TSX 60 has not recovered as much as the TSX itself. .
• That's probably has a lot to do with the banking sector. .
• So here we are up at 1234.38. .
• We closed just below that yesterday. .
• If we can take out the recent highs from .
• two days ago, then we're looking for a move up to 1250. .
• Now, while the TSX and the TSX 60 pulled back on Tuesday, midcap, smallcap, and .
• microcap stocks were all higher on the day. .
• Now, copper was up nicely yesterday, helped put a bid into the mining sector .
• and HudBay led the mining sector higher up over 8 % on the day. .
• We also had a big up day for Ero Copper, up over 4 % on the day. .
• Moving on to the energy sector, a new high for the energy sector. .
• On Tuesday, we saw crude oil continue to move higher. .
• Crude oil is pulling back a little. .
• We are at resistance of 75 38. .
• If we can break out above that, then 81.25 comes into play. .
• We've got natural gas stuck at resistance. .
• Our price target is 2.73. We closed at 2.74 yesterday. .
• If we can take out the at the June high, then 3.13 will come into play. .
• Then looking at a couple of energy stocks, we got Crescent Point making a new high on .
• Tuesday, new high for Canadian Natural Resources while Baytex pulled back .
• slightly, having an inside day, so a day of indecision. .
• Then moving on to the gold sector, fairly quiet. .
• We're in the channel, still on a buy signal here. .
• The price of gold still trading in the channel. .
• It is up in the premarket this morning as is the price of silver. .
• So both commodities are still on buy signals here. .
• Looking at B2Gold, the most actively .
• traded gold stock on the TSX on Tuesday, it is trading back in the channel. .
• So a close above $4.88 would give us a buy signal on Wednesday. .
• Barrick is still on a buy signal, and we also have Kinross still on a buy signal. .
• Then looking at the financials, and this .
• is the sector that probably led the market lower on Tuesday, you can see the new .
• early warning signal up there at the top of the screen. .
• And you can see on the right side chart .
• that we did close below the previous day's low. .
• So that is bearish. .
• Didn't have a lot to do with the major insurance companies. .
• Manulife was up. .
• Sun Life was up on Tuesday. .
• Had a lot more to do with bank stocks. .
• BMOwas down on the day, did not close .
• below the previous day's low as Bank of Nova Scotia certainly did. .
• Down 2.61 % on the day, which is a big move for a bank. .
• And we are back on a sell signal. .
• We also saw weakness in Canadian Imperial .
• Bank of Commerce, which was down over 1 % back in the channel. .
• So close below $56.94 on Wednesday would give us a sell signal. .
• We had an inside day for the National .
• Bank, basically closing unchanged just up two pennies on the day. .
• Then looking at the Royal Bank, yes, we .
• pulled back, did not close below the previous day's low unlike the TD Bank .
• trading rating down to the upper channel line. .
• So a close on Wednesday below $83.93 would give us a sell signal for the TD Bank. .
• Then looking at the InfoTech .
• Index, still on a buy signal here, but barely Shopify not helping back on a sell .
• signal right now joining BlackBerry and Lightspeed already on sell signals. .
• What's working? .
• Well, we've got Celestica still on a buy signal, closing higher on the day. .
• We saw Constellation Software close slightly higher on the day and a big .
• update for Coveo up over 6 % on the day, making a new high for this move. .
• And last up, we had Open Text also higher on the day, up a little over 2 %, making a .
• new high for this move heading towards the highs from early June. .
• Okay, folks, that is all for this morning's presentation. .
• Thank you very much for your time and attention. .
• And of course, if you have any questions, just reply to this email and we'll be .
• happy to answer them as quickly as possible. .
• Enjoy the rest of your day. .
• I'll be back a little later to look at the US stock market. .