• Hello, everyone, and welcome to Thursday morning. .
• It's Stephen Whiteside here from theuptrend.com. .
• In the premarket this morning, stock index .
• futures are down across the board and around the world. .
• That could possibly change at 8:30 this morning. .
• There's a whole bunch of economic numbers .
• coming out, but I find that unlikely this morning. .
• But we'll just have to wait and see how the market reacts. .
• A one stock that is not part of the .
• Magnificent Seven that is out in the premarket is UPS. .
• UPS was coming into today's trading action, making a new low yesterday. .
• It's down another three and a half % in the premarket. .
• And of course, UPS is part of the transports and the Dow Transports were .
• down sharply yesterday, also making a new low. .
• Now, 2023 has been the year of AI. .
• Typically, when a CEO has mentioned AI in .
• their call, it's usually helped their stock. .
• It may have helped Microsoft, certainly didn't help Alphabet. .
• But yeah, there's something I saw off a CMBC yesterday that .
• between the two of them, they mentioned AI 145 times during their calls. .
• Now, the Magnificent Seven stocks are in .
• the Nasdaq 100, and that's been able to hold the Nasdaq up fairly well in 2023. .
• It's currently still up over 30 % for the year. .
• Now, the Magnificent Seven have not been the best performing stocks of 2023, but .
• because of their size and performance, they've been able to hold the Nasdaq up. .
• Compare that to the Russell 2000, which is currently down over six %, and the TSX, .
• even with the added performance of the energy sector, the TSX is down 2.25 % year .
• to date coming into Thursday's trading action. .
• Now, we're going to walk through these charts fairly quickly. .
• Two of the seven are still performing fairly well. .
• The rest of them are heading lower. .
• Here's the Nasdaq-100, you can see the last early warning signal. .
• We had an early warning signal here. .
• We drove down, pressure's on form. .
• That is the time and place you look for a buy signal. .
• We drove up. .
• Unfortunately, early warning signal came back down. .
• Now, what we were looking to see was, does .
• the Nasdaq-100 make a new lower-low for this move? .
• Not for 2023, but just for this move. .
• If it starts to break down below the .
• Flypaper channel, that would be very bearish. .
• Here we are making a lower-low yesterday, starting to break down, but we haven't .
• broken away from the Flypaper channel just yet. .
• Our next mathematical target for the triple Qs are 343.75 is our next target. .
• That comes in line with the 200-day moving average. .
• The financial world will be watching that very closely. .
• Now, you can see the last time we had a bearish reversal signal. .
• We ask you to watch these signals closely. .
• They don't always work. .
• But if you're going to line that up with an early warning signal on the Panic Zone .
• chart, it's probably the time and place to at least stop buying. .
• A bearish reversal signal does not generate a sell signal .
• or bearish engulfment signal does not generate a sell signal, but it should be .
• enough to just stop you from buying and looking for selling opportunities. .
• You're coming into Thursday's trading action. .
• You're either short the queues or long the .
• bear ETFs, so you should be making lots of money on Thursday. .
• Now, the Magnificent Seven contains these stocks. .
• We'll walk through them as quickly as possible, starting off with Alphabet. .
• There's the early warning signal at the top of the screen. .
• It actually struggled to move up on .
• Wednesday, excuse me, and traded right up to the upper channel line. .
• Then yesterday, just gapped down sharply. .
• We were looking to see if the recent low would act as support. .
• Guess what? We cut right through that and we're .
• starting to move down below the bottom of the Flypaper channel. .
• Of course, we're looking to see if the 200 day moving average is going to hold us. .
• There's a nice open gap over there to the .
• left and you can see that that open gap, the bottom of it is at the 123.69 level. .
• That could be a potential target and area of support. .
• If that doesn't hold, of course, 118.75 is going to be our next target. .
• Next up, we're looking at Amazon. .
• Amazon struggled. .
• We had the early warning signal. .
• We had the decline. .
• Pressure Zone started to form. .
• We started to move up that the open gap was a potential area of resistance. .
• Guess what? That's what it ended up being. .
• And so now we're coming down. .
• And did the recent low hold? .
• Nope, we broke that yesterday. .
• Amazon struggled to move up above the FlyPaper channel. .
• We call the FlyPaper channel because we expect stocks to get stuck there. .
• And here we are coming down, making a new .
• low on Wednesday, hitting the 200 day moving average. .
• If you look down to the left there, you'll see a nice open gap way down there. .
• I don't know if we're going to get that .
• far, but you only worry about gaps if they're in front of you. .
• So if the stock is going down, if there's a gap above you, doesn't matter. .
• If the stock is going up and there's a gap below you, doesn't matter. .
• It only matters when it's ahead of you. .
• Here we are, mathematically speaking, our next target is 118.75 and then 112.50. .
• I'm not going to talk about any potential buy signals today. .
• It's just not the day to do that. .
• Then Apple, well, Apple had an early .
• warning signal there at the top of the screen. .
• We're coming down. .
• There has not been aggressive selling. .
• Earnings come out next week, maybe .
• investors are waiting to for those earnings to come out. .
• The next big tell, of course, is going to be if we can hold the recent low from .
• September at the other end, what are you looking at here? .
• You're looking at a high, lower, high, lower, high, and... .
• And now the recent rally .
• struggled and could not get out of the Flypaper channel. .
• So that is a bearish sign. .
• We are sitting on the 200 day moving average. .
• You can see there's an open gap below us, .
• not too far below us, but at 167.04, that could be a potential target. .
• And if we break down below that open gap, then 162.50 would be our next target. .
• And again, no reason to talk about potential buy signals on Thursday. .
• Looking at Meta, Meta coming off the top of the Panic Zones there, you see the .
• early warning signal, but the stock is still holding up incredibly well. .
• The FlyPaper channel has done what it's supposed to do, which in a bullish .
• situation, people are going to be willing to buy the dips. .
• That has been happening over the past couple of months, August, September. .
• Now we're into October. .
• Does that continue or do we break down from here? .
• Now looking at moving averages, we're just sitting at the 50 day. .
• The 100 and the 200 day are below us and .
• the 200 day is way down there just above 250. .
• Now looking at our price targets, you can .
• see that we're far away from that 200 day moving average. .
• It's going to take a lot of selling to get down from here. .
• You can see that in August, we traded below the 281.25 level. .
• That could certainly be a reasonable .
• target if the market wants to continue to stay bullish on Meta. .
• The pros are just about to give up control on the stock. .
• We'll just have to wait and see if that continues. .
• What we're seeing in the premarket this .
• morning is Meta trading down $9.10 in the premarket down towards the 290 level. .
• Now looking at Microsoft, Microsoft is still on a buy signal right now. .
• We came into yesterday's trading action on a buy signal. .
• We've been there for a few weeks. .
• If you were looking at price targets, if .
• you were long Microsoft going into yesterday's trading action, you had an .
• order up there at the 343.75 area andtoching. .
• It got filled yesterday, so congratulations. .
• That might be as high as Microsoft can go for this particular move. .
• We saw it pull back in today, and wouldn't .
• be surprised if it continued to pull back on Thursday. .
• Last up, Tesla. Tesla. .
• You'll look across the top of the screen, you'll see a series of lower highs. .
• Then we were looking to see if the recent low in September was going to hold. .
• That didn't. .
• We were also looking at this nice triangle. .
• It was looking, it could go either way, but it went to the downside. .
• The August low did not hold. .
• That's bearish. .
• We're looking for lower prices from here. .
• Looking at our price target chart, if .
• you're shorting Tesla, you want to take some money off the table at 187.50, and .
• then have another order in at 156.25. As I always say, when you're .
• shorting or long a stock, you want to take profits at the price targets. .
• At the same time, you don't want to completely liquidate a position. .
• Tesla is already on a sell signal, of course. .
• Now, I would normally tell you that we'd get a buy signal if we had a close on .
• Thursday above 2:39.38. That's highly unlikely to happen today. .
• There's a nice open gap on the way up. .
• And, of course, years, we're already heading in the wrong direction. .
• And, of course, that upper channel line is going to continue to move lower daily. .
• Okay, folks, that is all for this morning's presentation. .
• Looking for some selling at the open on Thursday morning. .
• Unless those economic numbers coming out .
• at 8:30 this morning totally shock the market. .
• That's probably not going to be the case, but it could happen. .
• There is always a mathematical probability .
• that the strangest things could happen, highly unlikely. .
• But yeah, it's possible. .
• Have a great day, folks. .
• Next time you'll hear my voice is on Friday morning. .
• And on Friday morning, I have a blood donors appointment. .
• I hope you have a blood donors appointment booked in the not so distant future. .