Good morning and welcome to the Canadian edition of Stock Market Timing Television for Tuesday, January 17, 2023..
With the US markets closed on Monday for the Martin Luther King holiday, the Canadian market was very thinly traded..
In the pre market this morning we have stock index futures trading slightly below fair value. Commodities.
are mixed with crude oil and natural gas trading higher, while gold is trading down $10..
Looking at the Canadian stock market by market cap.
..
We have the TSX Composite trading up towards the late November highs. No early warning signals so far..
The TSX 60 looks very similar..
And then looking at the mid-cap stocks, we've already broken out above the late November highs..
That is also true for the small cap stocks..
And even the microcap sector has already broken out above the recent highs. The gains.
for Small, Mid and Micro cap stocks are mostly from gains in the mining sector..
Moving back to look at the TSX 60. All looks clear at the moment. The.
first sign that something new is happening will be a close below last Friday's low..
If we can keep moving higher from here, our next target on both the daily and weekly charts is 1250..
In percentage terms, marijuana stocks have been the big winner over the last week..
Aurora Cannabis.
Tilray.
And Canopy Growth..
Of course the cannabis stocks have very little impact on the overall Canadian market..
The Canadian Financials Sector makes up approximately 31.7% of the Canadian stock market..
And right now the financials and the banking sector are doing okay..
A couple of current examples. Fairfax Financial put in a new closing high on Monday..
CI Financial also put in a new high..
One stock that the market will be watching closely, is the Royal Bank, which is now trading back.
at the November highs. Is this the end, or can we break out and make higher highs?.
Let's finish off this morning's presentation looking at the commodity sectors..
Both base metals and precious metals stocks are extremely overbought at.
the moment and may need to take a breather this week..
At the same time, energy stocks have been oversold and are starting to make a comeback..
If the market pulls back here we may not see money leave.
the commodity sector, but just move from the metals to the liquids..
That's all we wanted to talk about this morning. It's still dark out there and stock.
index futures are still trading below fair value. So so far it looks like we are.
going to see a little bit of selling at the opening on Tuesday morning..
Enjoy the rest your day, the next time you'll hear from us will be on Wednesday morning..