Equity Clock

Stock Market Outlook for July 13, 2021

Buying demand in the health care sector is starting to materialize. Find out what health care industry has been upgraded in our weekly chart books.

 

 

 

*** 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.

Diageo PLC (NYSE:DEO) Seasonal Chart

Chesswood Group Ltd. (TSE:CHW.TO) Seasonal Chart

PennyMac Financial Services, Inc. (NYSE:PFSI) Seasonal Chart

Ambarella, Inc. (NASD:AMBA) Seasonal Chart

A-Mark Precious Metals, Inc. (NASD:AMRK) Seasonal Chart

iShares MSCI All Peru Capped ETF (NYSE:EPU) Seasonal Chart

iShares International Select Dividend ETF (NYSE:IDV) Seasonal Chart

 

 

The Markets

Stocks ticked higher to start the week, led by financials as investors prepare for the start of earnings season on Tuesday.  As usual, the big banks start the reporting period with JP Morgan and Goldman Sachs among the notable names set to release results.  The SPDR S&P Bank ETF (KBE) closed with a gain of just over half of one percent, reaching back towards resistance around major moving averages, typically a neutral position ahead of an uncertain event.  A recent trend of underpeformance versus the market remains intact, leaving a high bar for the institutions to surpass in order to alter investor sentiment.  Seasonally, the bank ETF has averaged a trend of outperformance versus the market between now and the start of August, although the broader path through the fall is still fairly erratic, on average. 

The S&P 500 Index added just over a third of one percent, charting a record closing high as the positivity surrounding the average summer rally keeps the path of the benchmark with a positive slope.  Short-term support at the 20-day moving average, which was tested on Thursday, remains intact.  The limits of the intermediate-term trend channel can be pegged just beyond 4250 and 4450.  Momentum indicators, which had shown signs of rolling over in recent sessions, are back pointing higher with the Relative Strength Index (RSI) on the doorstep of overbought territory.

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

• Treasury bond ETFs showing resistance around declining 200-day moving averages
• Notable changes in this week’s chart books

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• Currencies
• Cryptocurrencies
• Commodities
• Major Benchmarks
• Sub-sectors / Industries

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Sentiment on Monday, as gauged by the put-call ratio, ended bullish at 0.88.

 

 

Seasonal charts of companies reporting earnings today:

 

 

S&P 500 Index

 

 

TSE Composite

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