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00:00:00Good morning, everyone, and welcome to Thursday Morning.
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00:00:03It's Stephen Whiteside here
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00:00:04from theuptrend.com in the pre market this morning, things are rather mixed.
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00:00:09We've got Dow futures currently down 100 points, so we are looking for a little bit
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00:00:13of selling at the open on Thursday morning.
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00:00:17Now we do have some economic numbers coming out at 8:30 this morning that could
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00:00:21certainly add to the pre market volatility.
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00:00:24We've got housing starts,
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00:00:25we've got jobless claims, and we've got the Philadelphia Fed manufacturing index.
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00:00:30Those numbers could certainly add some volatility to the pre market.
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00:00:34Now, yesterday we saw crude oil make a new
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00:00:36low for this move and that's a very bearish sign for the market.
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00:00:40Of course, downward pressure on crude oil helps gasoline move lower.
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00:00:45And then natural gas, which dances to its own tune, is still on a sell signal.
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00:00:51So no change there.
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00:00:52And of course, that doesn't look very
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00:00:54bullish for energy stocks, which were down over 5% on both sides of the border.
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00:01:00Then looking at gold, the GLD made a new high for this move,
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00:01:03trying to get to 181.25 on the Gld and on the SLV.
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00:01:09We also made a new high yesterday, hit 20.31.
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00:01:13Now the SLV has been looking very bearish last two days.
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00:01:16We had bearish reversal days and you can see the pros, even with this upward
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00:01:20movement, the pros really haven't taken control.
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00:01:23And so that's kind of a bearish sign
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00:01:25and may turn out to be bearish for gold and silver stocks.
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00:01:30The GDX made a new high for this move yesterday, hit 29.69.
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00:01:34And then the XGD also made a new high yesterday and hit the 17.97 level.
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00:01:41So this may be the time and place where
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00:01:44this particular area of the market stops moving higher.
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00:01:49We're going to be watching the GLD closely to see how it handles the 181.25 level.
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00:01:56Then looking at the TSX, there's the iShares for the TSX 60 making
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00:02:00a new low for this move before recovering going into the close.
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00:02:04So you can see that the December lows are acting as support.
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00:02:07Right now, we closed above that level after dipping below it.
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00:02:10If we continue to move lower, we can look down here and it's easy
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00:02:15to just since we don't have any additional references over here.
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00:02:20For potential areas of support,
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00:02:22you can just go to the weekly chart and you can see that if we take out
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00:02:25the December lows, then 28.13 would certainly be
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00:02:28a legitimate target to the downside for the Ishares for the TSX 60.
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00:02:34Then looking at the US market,
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00:02:35the S&P 500 recovered a lot of its losses going into the close yesterday,
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00:02:40still closing lower on the day, but certainly well off the intraday lows.
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00:02:45And so the low from a couple of days ago,
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00:02:47that's going to be significant for the market.
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00:02:49If we take that out, then 375 comes into play.
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00:02:53Then looking at the Nasdaq, we actually ended yesterday on a buy signal.
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00:02:58Yesterday morning we talked about a lot of new buy signals in the tech sector.
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00:03:03And depending on what was going on in the pre market as the market was
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00:03:07opening, you could decide whether to take the buy signal or just to sit on your
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00:03:12hands and wait for another close above the upper channel line.
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00:03:16And so if you waited for Apple,
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00:03:18there is the next close above the upper channel line.
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00:03:21So that's a nice confirmation.
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00:03:22And then we saw Microsoft,
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00:03:25which in the pre market really didn't dip all that much.
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00:03:28And it continued to move higher from the previous day's close.
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00:03:32And then Tesla, Tesla is just trading
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00:03:34water here, looking for close on Thursday above 189.11.
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00:03:39Now of course, the market is still watching the regional
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00:03:42banks which were down on the day yesterday.
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00:03:45We saw the First Republic down over 21% on the day.
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00:03:50Charles Schwab on the other hand, was the big winner on the S&P 500.
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00:03:54It was up 5% on the day, but certainly no change in trend there.
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00:03:58And then of course, we were talking about
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00:03:59Credit Suisse yesterday morning and it ended the day well off the intraday lows.
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00:04:05It's trading higher in the pre market this morning.
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00:04:08And in the Canadian market.
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00:04:09The big financial loser yesterday was
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00:04:11CI Financial, making a new low for this move, trying to hold the December lows.
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00:04:16And then the TD Bank made a new low for this move.
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00:04:19So well, trading well below those December lows that should have acted as support.
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00:04:24And in the case of the TD Bank really didn't last up the VIX.
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00:04:29The VIX closed higher on the day yesterday, trying to get out above $31.
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00:04:34That hasn't happened just yet.
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00:04:36Looking for a close on Thursday below $20.69.
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00:04:40If that were to happen,
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00:04:41of course that would be very bullish for the stock market.
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00:04:45Okay folks, that is all for this morning's presentation.
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00:04:48Have a great day.
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00:04:49Next time you'll hear my voice is on Friday morning.