Equity Clock

Stock Market Outlook for December 11, 2020

MACD Sell signal for stocks, bond prices holding support – Is a bearish shift underway?

 

 

 

*** 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.

Apache Corp. (NYSE:APA) Seasonal Chart

Estee Lauder Cos. (NYSE:EL) Seasonal Chart

Turquoise Hill Resources Ltd. (TSE:TRQ.TO) Seasonal Chart

Brookfield Renewable Energy Partners LP (TSE:BEP/UN.TO) Seasonal Chart

Toronto-Dominion Bank (TSE:TD.TO) Seasonal Chart

IBI Group Inc. (TSE:IBG.TO) Seasonal Chart

Greenbrier Cos, Inc. (NYSE:GBX) Seasonal Chart

Teekay Corp. (NYSE:TK) Seasonal Chart

FLYHT Aerospace Solutions Ltd. (TSXV:FLY.V) Seasonal Chart

iShares Core S&P-TSX Capped Composite Index ETF (TSE:XIC.TO) Seasonal Chart

VanEck Vectors Africa Index ETF (NYSE:AFK) Seasonal Chart

Central and Eastern Europe Fund, Inc. (NYSE:CEE) Seasonal Chart

iShares MSCI Australia ETF (NYSE:EWA) Seasonal Chart

First Trust ISE Global Wind Energy Index Fund (NYSE:FAN) Seasonal Chart

iShares Core MSCI Emerging Markets ETF (AMEX:IEMG) Seasonal Chart

Invesco International BuyBack Achievers ETF (NASD:IPKW) Seasonal Chart

Ivy High Income Opportunities Fund (NYSE:IVH) Seasonal Chart

 

 

The Markets

Stocks closed mixed on Thursday as investors continue to digest the gains from the past month.  The S&P 500 Index slipped by just over a tenth of one percent, continuing to hold levels above the psychologically important 3600 level.  At the lows of the session, the large cap-benchmark reached back towards levels around its rising 20-day moving average, now hovering at 3630.  As long as this hurdle continues to point higher and acts as support, the positive short-term trend is considered to be firmly intact.  Intermediate downside risks are to the 50-day, now at 3512.  The breakout of the 300-point trading range between 3200 and 3500 continues to project an upside target of 3800.  Momentum indicators have begun to slip, even triggering a sell signal with respect to MACD.  As we have been preparing subscribers for, this consolidation/negative bias that is being realized is all too common at this time of year as portfolio managers rebalance their books and/or conduct tax-loss selling transactions before they leave their desk for the end of year holidays in around the end of next week. 

Bond prices have, so far, been the recent beneficiary of this rotation.

Today, in our Market Outlook to subscribers, we discuss the following:

• Jobless claims and what they have to say about the track of the economy
• Natural gas
• The Consumer Price Index (CPI) and the opportunities within the price trends

Subscribe now and we’ll send you this report.

Sentiment on Thursday, as gauged by the put-call ratio, ended bullish at 0.70.

 

 

Seasonal charts of companies reporting earnings today:

 

 

S&P 500 Index

 

 

TSE Composite

Sponsored By...