Morning Market Outlook 01102024

en-us French Canadian Arabic Chinese German Hindi Japanese Korean Spanish

How was the video ?

Description

Auto Scroll

00:00:00

Good morning, everyone, and welcome to Wednesday morning.
00:00:02

It's Stephen Whiteside here from theuptrend.com.
00:00:06

In the pre-market this morning, things are fairly quiet.
00:00:08

We don't have any major economic numbers coming out this morning.
00:00:12

On Thursday and Friday, we've got huge numbers, PPI, CPI numbers coming out, and
00:00:17

they could certainly add some volatility to the market.
00:00:20

Now, we're getting some bullish signs here.
00:00:22

We're getting some bearish signs.
00:00:24

The VIX continue to move lower.
00:00:25

It is back on a sell signal as of Tuesday's close.
00:00:29

That's bullish for the market.
00:00:30

We've also got the Nasdaq VIX back on a sell signal as of Tuesday's close, and
00:00:36

we're still waiting for the VIX for the Russell 2000 to generate a sell signal.
00:00:39

So the VIX is pointing down, which is bullish for the stock market.
00:00:44

Now, what isn't working?
00:00:45

Well, the US dollar index moved up yesterday.
00:00:47

That's not good for stocks.
00:00:49

We also saw bond yields move up yesterday.
00:00:52

The TLT had an inside day, was down on the day.
00:00:55

The XBB had an inside day, was up slightly on the day.
00:00:58

So no major change for currencies or bonds.
00:01:01

We want the US dollar to go down.
00:01:03

We want bonds to go up.
00:01:05

That's not happening at the moment.
00:01:08

The DAO had an inside day on Tuesday.
00:01:11

Of course, an inside day is a day of indecision.
00:01:14

The big winner on the DOW yesterday was Merck continuing to move higher.
00:01:17

The big loser on the DOW yesterday was
00:01:19

Verizon, still on a buy signal, no change in trend.
00:01:24

Now, looking at the S&P 500, we closed
00:01:27

down on the day and we're trading a little lower in in the pre-market.
00:01:30

We still closed above the upper channel
00:01:32

line, so that's a very mixed picture right now.
00:01:36

Again, I wouldn't get overly excited about the market at the moment.
00:01:40

Juniper Networks was the big winner on the
00:01:42

S&P 500 yesterday, up over 20%, and then the big loser was Hewlett-Packard
00:01:48

Enterprise down sharply on the day, back on a sell signal as of Tuesday's close.
00:01:54

Looking at the Nasdaq, the Nasdaq moved up yesterday, closed above the upper channel
00:01:58

line, so that's a new buy signal for the triple Qs.
00:02:01

The big winner on the Nasdaq 100 was CrowdStrike.
00:02:05

The biggest loser was Moderna, having an inside day, so no change in trend there.
00:02:10

Then looking at the iShares for the
00:02:12

TSX-60, an inside day on Tuesday, closing down slightly on the day.
00:02:16

The big winner on the TSX-60 was Cameco,
00:02:19

and the big loser was the TD Bank, back on a sell signal as of Tuesday's close.
00:02:24

What worked on the TSX composite, K92 Mining was the big winner.
00:02:29

Up nearly 10% on the day.
00:02:32

And the big loser, back on a sell signal, is Tillray, down nearly 10%.
00:02:38

Now, the best performing sector in North
00:02:40

America on Tuesday was actually Canadian Infotech, up a tick over 1%, and that had
00:02:46

a lot to do with Shopify, which was up over 3% on the day.
00:02:50

Okay, folks, that is all for this morning's presentation.
00:02:53

It's a very mixed picture.
00:02:54

The fact that the major indices are now all back on buy signals and the VIX back
00:03:00

on a sell signal should make me very bullish.
00:03:02

At the same time, the bond market, the
00:03:04

currency market, isn't really supporting a higher move at the moment.
00:03:09

We'll just have to wait and see how things work out.
00:03:12

We've got big numbers coming out on
00:03:14

Thursday and Friday, and they will certainly drive the market in a direction
00:03:18

which we really don't know what that direction is going to be right now.
00:03:23

So don't get overly aggressive this week.
00:03:24

It's not the time and place
00:03:27

to go crazy in the market, either being bullish or bearish.
00:03:31

Enjoy the rest of your day.
00:03:33

Next time you'll hear my voice is on Thursday morning.

Transcription