Technology Stock Trends 10062023

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

How was the video ?

Description

Auto Scroll

00:00:00

It's. Good morning, everyone.
00:00:01

Welcome to Friday morning.
00:00:03

It's Stephen Whiteside here from TheUpTrend.com In the pre market this
00:00:07

morning, stock index futures are down across the board.
00:00:09

Dow futures currently down about 200 points.
00:00:12

So we're definitely looking at some selling this morning.
00:00:15

Now, if things turn around, some of these
00:00:17

technology charts could give buy signals, but probably not on Friday.
00:00:22

Now, the reason we're looking at the
00:00:24

technology sector this morning is we may have put in a bottom.
00:00:28

Looking at the Canadian technology sector,
00:00:30

you can see that the index has held the August lows, unlike the Nasdaq 100, which
00:00:37

has dipped through the August lows, but hit our next price target and bounced.
00:00:41

And now we're up to the previous price target at the 359.38 level.
00:00:47

Coming into Friday's trading action.
00:00:49

We've had a couple of quiet days, we've had a couple of inside days, and now we're
00:00:53

looking to see if we can take out the upper channel line on Friday.
00:00:57

You can see that we have traded into the open gap.
00:01:00

We haven't filled it yet, so that is still a potential area of resistance.
00:01:04

So looking for a close on Friday above 360 213.
00:01:08

Now, year to date, the Nasdaq 100 is up nearly 35%.
00:01:13

And right now we're using the bottom of the Fly Paper channel as support.
00:01:18

You can see we're nicely oversold down here.
00:01:20

So this is the time and place where we could see a rally.
00:01:24

Now compare the Nasdaq 100 to the Russell 2000.
00:01:28

We're nowhere near a buy signal coming into Friday's trading action, well below
00:01:32

the Fly Paper channel, and we're down nearly 2% on the year.
00:01:37

So when you take away those seven big cap
00:01:39

tech stocks, the rest of the market has not performed at all in 2023.
00:01:46

Now, what hasn't worked?
00:01:47

Well, the biggest loser has been the
00:01:49

regional banks in the US , Down over 30% year to date.
00:01:54

Now. I always look at the VIX.
00:01:55

It's the first thing I look at every day to see what the options traders are doing.
00:01:59

And they're still on a buy signal right now.
00:02:02

That would change on Friday if the VIX were to close below $16.75.
00:02:07

Now, there is a VIX for the Nasdaq, and I don't look at it that often because it
00:02:12

does this a lot, and that's not really that useful.
00:02:16

But right now we're in an uptrend looking
00:02:18

very similar to the VIX for the S and P 500.
00:02:21

Things would change on Friday if the VIX for the Nasdaq were to close below $21.25.
00:02:28

Now, looking at those big cap tech stocks, we have four out of the seven back on buy
00:02:33

signals right now, including Alphabet, but not Amazon.
00:02:38

For Amazon, we're still trading below the lower channel line.
00:02:41

And then Apple is back on a buy signal as
00:02:44

of Thursday's close, joining Meta already on a buy signal for Microsoft, we're
00:02:49

looking for a close above $320.83 on Friday.
00:02:53

We do have Nvidia on a buy signal right now.
00:02:57

We also have Tesla on a buy signal.
00:02:59

So four out of the seven big cap tech
00:03:02

stocks are now back on buy signals, and that is a majority.
00:03:07

Now seeing four out of the top seven
00:03:09

technology stocks with buy signals is not enough to get things started.
00:03:14

We need the technology ETFs to start
00:03:16

showing some buy signals, and so far, that is not the case.
00:03:20

Starting off with semiconductors, it looks like we're finding a base here, but we
00:03:24

haven't seen enough upward momentum to give us a buy signal just yet.
00:03:29

Looking at robotics, no change there.
00:03:32

No change for XT.
00:03:34

Then we've got cloud computing making a new low yesterday.
00:03:38

We've got autonomous vehicles with an inside day on Thursday.
00:03:43

Then looking at cybersecurity, no change in trend there.
00:03:47

Then Mobile Payments, had a fairly quiet day.
00:03:50

Looking at robotics, no change there.
00:03:53

And then looking at the SPDR Technology
00:03:55

ETF, looking very much like the Nasdaq 100 trading up into the channel for the past
00:04:00

few days, but not enough to give us a buy signal.
00:04:03

We're still looking for a close above 166 on Friday to give us a buy signal.
00:04:09

And you can see that that open gap is
00:04:11

currently acting as resistance, and it looks like it has now been filled.
00:04:15

Taking a look at the Ark Invest ETFs, no change there for any of these ETFs.
00:04:21

There's Genomics making a new low on Thursday.
00:04:24

The innovation ETF, no change there.
00:04:28

Fairly quiet trading for the Industrial.
00:04:30

And then Space and Internet, no change for either of those.
00:04:34

So we've got all the major technology ETFs
00:04:38

still on sell signals, so no change coming into Friday's trading action.
00:04:43

Let's finish off with a look at a couple of the tech stocks.
00:04:46

I follow closely.
00:04:47

There's Advanced Micro Devices on a buy signal right now.
00:04:50

BlackBerry, huge down day for BlackBerry on Thursday.
00:04:54

This looked kind of weird.
00:04:56

We went up, we gapped down, we came up,
00:04:59

filled the open gap, and then came right back down.
00:05:02

I kind of thought that this was kind of strange to see this big price movement.
00:05:08

Then the gap filled, and then we retreated once again.
00:05:11

So BlackBerry making a new low on Thursday.
00:05:15

Then Salesforce, still on a sell signal, no change there.
00:05:18

No change for Cisco, no change for DocuSign.
00:05:23

And then we've got intel has traded above
00:05:27

the upper channel line for the past couple of days, but has not closed above it.
00:05:30

So on Friday, we're looking for a close
00:05:32

above $35.98. Then looking at Lightspeed, no change there.
00:05:38

No change for Netflix, no change for PayPal.
00:05:42

Then looking at Roku.
00:05:43

We've been in the channel all week, and
00:05:45

now we're looking for a close above 71 .65 on Friday to give us a buy signal.
00:05:51

And last up this morning, shopify on the
00:05:53

TSX, we're looking for a close on Friday above $74.
00:05:57

09.
00:05:58

Okay, folks, that is all for this morning's presentation.
00:06:01

Looks like we're going to see some selling at the open on Friday morning.
00:06:04

Have a great day.
00:06:06

Next time you'll hear my voice is on
00:06:07

Monday morning, Canadian markets will be closed.
00:06:09

On Monday. US.
00:06:10

Markets will be open.

Transcription