Good morning, everyone. Welcome to Thursday morning. .
It's Stephen Whiteside here from the .
uptrend.com. In the pre market this morning, stock index futures are flat. .
Commodities are mixed with crude oil .
slightly higher, while gold is down another $5 in the pre market. .
Now, we do have employment numbers coming out at 8:30 this morning in the US, and .
that could certainly change the direction of the market on Thursday morning. .
Well, the VIX continued move lower yesterday, down for its 8th day in a row. .
And, of course, when the VIX is falling, .
that is supportive for higher stock prices. .
When the VIX started to fall, we knew that .
the crash watch was coming to an end, so we are expecting higher prices here. .
Unfortunately, the market has moved up to .
resistance, and that resistance has held us in check. .
Now, when a market goes from being .
oversold to overbought, one of the ways that you can relieve that overbought .
condition is not only by pulling back, but also by treading water. .
And so we might be relieving that .
overbought condition right now by treading water up here at the 437. .
50 level. .
Now, we've got an open gap just above that level, up at 438. .
43. We got as high yesterday as 438.09. .
And so we're less than $0.50 away from hitting and filling that open gap. .
And then we'll have to see what the market does next. .
Looking at what's working. .
Well, the bonds have been moving up over the past few days, and that's put downward .
pressure on bond yields, and that's helped push the market higher. .
And if we look at the S&P 500, we're up there at the 437 50 level. .
If we look at the equal weighted S&P 500, .
you'll see we haven't been performing as well. .
And of course, that's those big cap tech .
stocks that are in the Nasdaq 100 that are also in the S&P 500. .
Now, if they're equally weighted, they don't have as much impact on the market. .
But if they're weighted based on their .
market cap, of course, they're helping move the Nasdaq higher and the S&P 500. .
And there's the Nasdaq moving up to resistance at 375 on the triple Q's. .
And we'll have to see if we can get out above that. .
Of course, the Nasdaq is once again being .
fueled by those magnificent seven stocks, which are all on buy signals. .
Alphabet not doing well right now compared .
to Amazon, which is heading up to the not only it's way past the October highs. .
We're heading towards the September highs for Amazon. .
Apple's pushed through the October highs. .
And again we're looking to see if not only .
can we make a higher high, but can we make a higher low. .
And that chapter has not started yet. .
Now Meta's still on a buy signal here. .
Not a lot of upward momentum. .
We had a big update and then we've been crawling higher ever since. .
Again heading towards those October highs. .
There's Microsoft hitting a new high yesterday and that is making up the .
majority of the gains for the Nasdaq at the moment. .
And then we've got Nvidia. .
Nvidia is still struggling to hit the .
October highs but still on a buy signal, still continuing to edge higher. .
And the dog of the magnificent seven at the moment is Tesla. .
Tesla has been treading water here. .
Close below 210. .
88 would give us a sell signal on Thursday. .
We're struggling here. We're stuck to the 218. .
75 level. .
There's an open gap there that could .
potentially act as a magnet and an area of resistance. .
If we can take out that gap, then 250 does come into play. .
But right now Tesla is struggling to move higher, moving on to the Canadian market. .
The TSX has been struggling over the past couple of days. .
That has a lot to do with commodities. .
There's crude oil continuing to move lower on Wednesday, pulling down energy stocks .
which have come down to their recent lows in October. .
And we're looking at the iShares for the TSX Energy sector, then looking at gold. .
It's a second day of a sell signal for the .
price of gold, helping gold stocks move lower again. .
We're looking at the ishares for the Gold sector. .
Of course, the other side of these trades .
is to play the bear ETFs and watch them go up as the market falls. .
Now Financials are holding up still. .
They're trading Water here up at resistance at 42. .
97 on the IShares ETF. .
And the best performing financial over the .
past week has been Nuvei, which is up over 30% over the last five trading days. .
Then we've got Fairfax holding up fairly well up here. .
Of course, if you're going to own one .
Canadian stock, it's probably going to be Fairfax. .
And then let's finish off today's .
presentation looking at the bull boards for the industrial sector. .
And industrial is on a buy signal right now. .
The best performing industrial right now is Bombardier which has moved up nicely .
over the past week, right up to the convergence of the 102 hundred day moving .
average and the top of the fly paper channel. .
So this could be the end of this move for Bombardier. .
Hopefully you've locked in some profits after this nice up move, and I wouldn't .
completely liquidate a position, but the ods of us continuing to move .
higher from here have diminished quite a bit over the past couple of days. .
We'll just have to see what happens next. .
Moving from the best performing industrial .
over the last week to the worst performing. .
It's Finning International. .
And you can see we continue to make a .
series of lower highs and lower lows with a new low being made on Tuesday. .
Now, moving down the list, we've got Pyrogenesis. .
It's on a buy signal right now, but barely .
close below $0.49 would give us a sell signal on Thursday. .
If we can continue to move up and break .
that downtrend line there, then we could move up into the .70 area. .
But I wouldn't expect more from this stock at this time. .
And then looking at extra is on a buy signal right now. .
There's not a lot of love for the stock at the moment. .
Yes, we were able to generate a buy .
signal, but the pros have not come back to take control. .
So this buy signal may fizzle out fairly quickly. .
You can see there's lots of resistance up at the $1. .
95 level that acted as support back in .
August and September, and it's continuing to act as resistance in November. .
And so here we are at the midpoint between the 1.56 and the 1.95 level. .
We're holding support at 1.76, looking to see if we can break out of that range. .
And then next we're looking at Extract .
Technologies and we're on a sell signal right now that would change on Thursday .
with a close above $0.75. Let's finish off looking at Air Canada, .
and Air Canada looks very similar to a lot of other airline stocks. .
And maybe the falling crude oil prices can help this stock. .
You can see across the bottom here that we tried several times to start a new rally. .
We were expecting one here. .
We were expecting one here. .
Both failed and here we are. We've got one. .
We are projecting higher prices up towards $23. .
But projections only know what they know and they don't know what they don't know. .
So it's just a guide. .
Right now, the pros have taken control of Air Canada. .
The problem is we're stuck at 18.75 as resistance. .
That was support back here in September into early October. .
And so if we can get over that, then look, two lines up to 21.88. .
That would certainly be a reasonable .
target to the upside and 21.88 would take us up over the fly paper channel. .
So there is resistance. .
But there is a lot of opportunity here. .
If crude oil prices can continue to move lower. .
And we're currently on a buy signal that would change on Thursday with a close .
below $17.06. And so far, we're not expecting that to happen on Thursday. .
Okay, folks, that is all for this morning's presentation. .
Have a great day. .
Next time you'll hear my voice is on Friday morning. .