• Good morning, everyone, and welcome to Wednesday morning. .
• It's Stephen Whiteside here from theuptrend. .
• com. In the pre market this morning, stock .
• index futures are trading below fair value. .
• We are doing this video ahead of the US, .
• jobless claims that come out at 8:30 this morning. .
• And those numbers could certainly add to the pre market volatility. .
• Commodities are mixed this morning with .
• crude oil trading slightly higher, while gold is down $9 in the pre market. .
• Now yesterday was an interesting day, .
• probably a day that may go down in market history. .
• As we came right up to 5000 and then .
• quickly reversed, we got as high as $4,999. .
• 89. So just $0. .
• 11 away from hitting the next target, that's good enough for a lot of people. .
• And we're pulling back in the pre market this morning. .
• Not enough to set off any alarm bells, but .
• we're certainly moving away from that $5,000 target. .
• Now, the VIX is still on a sell signal that's supportive for higher stock prices. .
• And we're not really too concerned about .
• what the VIX is doing right now unless it starts breaking out above 15. .
• Now, if we look at a seasonality chart of .
• the VIX, you notice that we make a low in the middle of February. .
• And then from that point on, there's a .
• huge seasonal move up into the middle of March. .
• And that could certainly put downward pressure on the stock market. .
• Now we've got the TSX, the TSX 60, the mid caps, small caps and micro caps, all on a .
• daily short term sell signal at the moment. .
• If we look at what the pros and the public .
• are doing for the TSX, you can see we're intertwined at the moment. .
• So there's not really a lot of downward pressure at the moment. .
• And you can see that we've been trading in a range since the middle of December. .
• We came down to the bottom of that range. .
• We've come up to the top of that range, .
• and right now we're right in the middle of that range and looking for some direction. .
• Here we are on a short term sell signal. .
• We certainly haven't set off any alarm bells for the overall stock market, just .
• the people that trade the market on a daily basis. .
• Now, we don't have the big, huge international mega caps that the US have. .
• A year ago, we would have been talking about Apple and Tesla. .
• Those two are not leading at the moment. .
• What's leading and still leading coming .
• into Thursday's trading action is meta, Microsoft and Nvidia. .
• Nvidia hit a new closing high on Wednesday. .
• And so unless those stocks start to break .
• down, the US market is still going to hold up. .
• Unfortunately, our biggest stock north of .
• the border is the Royal Bank, and this is what it's doing at the present time. .
• Now, looking at what worked and didn't work yesterday, well, it was infotech was .
• the big winner, while utilities were the biggest loser on Wednesday. .
• And if we start out looking at information .
• technology, this index looks very similar to Shopify. .
• There's not a lot of difference here. .
• We saw some selling in Shopify last week. .
• It has come back, it's back on a buy signal. .
• Made a new closing high yesterday, heading towards 118. .
• 75. That is our next mathematical target. .
• Then looking at the industrials, making a new high yesterday, being led higher by .
• the railroads, which are the biggest players in this sector. .
• So Canadian National trailing Canadian Pacific at the present time. .
• Then real estate, no joy there. .
• Still on a sell signal. .
• Energy, no joy here recently, making a new .
• low and series of lower highs and now maybe another lower low. .
• The biggest player in this sector, of course, is Canadian Natural Resources. .
• No joy there. .
• The biggest winner in this sector .
• yesterday was Birchcliff trading right up to the upper channel line. .
• We were looking for a close above 5. .
• 11 and we got a close at 5. 10. .
• So almost a buy signal. .
• A nice big up move for Birchcliff on Wednesday. .
• Now, consumer discretionary and some of .
• these indices, these sectors are really strange. .
• I understand why Canada Goose is in consumer discretionary. .
• I understand why Restaurant Brands is in consumer discretionary. .
• I don't know what Magnet International is doing in consumer discretionary. .
• It's not a consumer manufacturer, it is an industrial company. .
• I also don't know what Pet Value is doing in consumer discretionary. .
• I haven't met anybody who will go through .
• a recession and not feed their animals on a daily basis. .
• So that is a consumer staple. .
• Now, speaking of consumer staples, we still have Loblaws on a buy signal while .
• Metro and Empire are still on sell signals. .
• No change there. .
• No change for financials. .
• Then within financials you've got banks .
• and not looking very bullish at this particular time. .
• And then looking at the TD bank, heading .
• down towards the January lows, then looking at communication services. .
• Now, Bell's out with some big announcements this morning. .
• They're laying off people. .
• They're selling off some radio stations. .
• It is trading slightly higher. .
• It was down $0. .
• 39 yesterday. It's up $0. .
• 31 in New York trading last time I checked. .
• And then looking at Telus. .
• Telus trying to hold the December lows. .
• If we break those lows. .
• Our next mathematical target is 22. 66. .
• But if you look to the left, there's an .
• open gap that could act as a magnet if the stock wants to break down from here. .
• Looking at materials, new closing low for materials on Wednesday. .
• New closing low for Barrick. .
• So no change there. .
• Then looking at healthcare, there's only four stocks in this particular sector. .
• I'm sure they could add some additional stocks. .
• There's other players out there that could be added. .
• Chartwell still on a buy signal. .
• No change there. .
• And Tilray still on a sell signal. .
• No change there. .
• And then last up, we've got utilities, the biggest loser on Wednesday. .
• No change in trend for utilities. .
• Let's finish off looking at a couple of stocks that have some pre market news. .
• And Bombardier is out with news and it's looking pretty positive. .
• So the news is positive. .
• How the market reacts to it, of course, is yet to be determined. .
• And Bombardier is currently on a buy signal. .
• Small pullback yesterday. .
• And then we've got Disney. .
• Now Disney is a Dow 30 stock. .
• It's up over 6% in the pre market. .
• At the same time, the Dow futures are trading lower. .
• So that tells you how the overall market feels this morning. .
• But yeah, we've got Disney back over $100. .
• Okay, folks, that is all for this morning's presentation. .
• So far, it looks like the market wants to head lower. .
• We do have to get over those employment .
• numbers at 8:30 before we get to the market open. .
• So we'll just have to wait and see. .
• Thank you very much for your time and .
• attention, and of course, I appreciate any questions you might have. .
• The next time you'll hear my voice is on Friday morning. .
• And at that time we'll take a closer look at the US stock market. .