Contact | RSS Feed

Stock Market Outlook for December 5, 2019


S&P 500 has filled the gap that was opened during Tuesday’s session, but broken trendine support is in a position of resistance overhead.

 

Real Time Economic Calendar provided by Investing.com.

 

*** Stocks highlighted are for information purposes only and should not be considered as advice to purchase or to sell mentioned securities.   As always, the use of technical and fundamental analysis is encouraged in order to fine tune entry and exit points to average seasonal trends.

Stocks Entering Period of Seasonal Strength Today:

Subscribers – Click on the relevant link to view the full profile. Not a subscriber? Signup here.

Stakeholder Gold Corp. (TSXV:SRC.V) Seasonal Chart

Stakeholder Gold Corp. (TSXV:SRC.V) Seasonal Chart

Delek US Holdings, Inc. (NYSE:DK) Seasonal Chart

Delek US Holdings, Inc. (NYSE:DK) Seasonal Chart

Century Casinos, Inc. (NASD:CNTY) Seasonal Chart

Century Casinos, Inc. (NASD:CNTY) Seasonal Chart

Cominar Real Estate Investment Trust (TSE:CUF/UN.TO) Seasonal Chart

Cominar Real Estate Investment Trust (TSE:CUF/UN.TO) Seasonal Chart

Teranga Gold Corp. (TSE:TGZ.TO) Seasonal Chart

Teranga Gold Corp. (TSE:TGZ.TO) Seasonal Chart

Surmodics, Inc. (NASD:SRDX) Seasonal Chart

Surmodics, Inc. (NASD:SRDX) Seasonal Chart

Equity Commonwealth REIT (NYSE:EQC) Seasonal Chart

Equity Commonwealth REIT (NYSE:EQC) Seasonal Chart

Alacer Gold Corp. (TSE:ASR.TO) Seasonal Chart

Alacer Gold Corp. (TSE:ASR.TO) Seasonal Chart

Morguard Real Estate Investment Trust (TSE:MRT/UN.TO) Seasonal Chart

Morguard Real Estate Investment Trust (TSE:MRT/UN.TO) Seasonal Chart

 

 

 

The Markets

Stocks rebounded from Tuesday’s selloff to close the gap opened in the prior session.  The S&P 500 Index added just over six-tenths of one percent on Wednesday, trading back to the lows set in the prior session.  The benchmark remains below its 50-hour moving average, which is likely to provide a lid to the benchmark over the short term, unless some catalyst can be realized to fuel a breakout.  Momentum indicators on the hourly look are showing bearish characteristics, a shift from the bullish trend that had been intact since the start of October.  Previous horizontal resistance at 3025 will be widely scrutinized on the downside as investors that missed the breakout run from the October low seek to enter market positions in order to attempt to play catch-up by the end of the year.  I touched on some of the tendencies for the equity market in my regular appearance on BNN Bloomberg’s Market Call Tonight that aired on Wednesday evening.  Navigate to the following link for the clip of my market outlook: https://www.bnnbloomberg.ca/video/jon-vialoux-s-market-outlook~1846850

image

On the economic front, the Bank of Canada kept its benchmark rate unchanged, marking the ninth consecutive meeting the central bank has opted to sit tight with the status quo.  The bank has remained steadfast despite many others choosing to cut rates in order to support the broader economy.  The Canadian Dollar rallied following the announcement given the diminished expectation that the central back would be forced to follow suit with other monetary authorities around the globe.  The Canadian Dollar Index bounced solidly around 75, just below the currency benchmark’s 200-day moving average.  The currency has been range-bound for a number of months between 75 and 77, suggesting the next target could be the upper limit of the range.  In the Seasonal Advantaged Portfolio that we manage in partnership with Castlemoore, we have been diligent about ensuring that our portfolio exposure is hedged against the impact of an appreciating Canadian currency given that the impetus for the Bank of Canada to cut rates was absent.  This is contrary to seasonal norms that call for a weaker Canadian dollar through the fourth quarter.

image

Canadian Dollar Forex (CAD) Seasonality

Sentiment on Wednesday, as gauged by the put-call ratio, ended neutral at 0.98.

image

 

 

Seasonal charts of companies reporting earnings today:

Toronto Dominion Bank (The) Seasonal Chart Dollar General Corporation Seasonal Chart Canadian Imperial Bank of Commerce Seasonal Chart Brown Forman Corporation Seasonal Chart  Kroger Company (The) Seasonal Chart Tiffany & Co. Seasonal Chart The Cooper Companies, Inc. Seasonal Chart Ulta Beauty, Inc. Seasonal Chart Guidewire Software, Inc. Seasonal Chart SCIENCE APPLICATIONS INTERNATIONAL CORPORATION Seasonal Chart Korn Ferry Seasonal Chart Patterson Companies, Inc. Seasonal Chart Methode Electronics, Inc. Seasonal Chart The Michaels Companies, Inc. Seasonal Chart Signet Jewelers Limited Seasonal Chart Zumiez Inc. Seasonal Chart American Outdoor Brands Corporation Seasonal Chart EZCORP, Inc. Seasonal Chart Express, Inc. Seasonal Chart Culp, Inc. Seasonal Chart Hovnanian Enterprises Inc Seasonal Chart Build-A-Bear Workshop, Inc. Seasonal Chart Kirkland's, Inc. Seasonal Chart

 

 

S&P 500 Index

image

image

 

 

TSE Composite

image

image

 

Sponsored By...
Seasonal Advantage Portfolio by CastleMoore

Comments are closed.