MY JOURNAL FOR THURSDAY MORNING – OCTOBER 24, 2019
NEWS, BREAKOUTS, MOMENTUM PLAYS, & BOTTOMS
A Dow Component Steps Into The Elevator
As the major indexes continue to test the highs, we are watching to see if breadth widens out. Financials are moving up this week following JPM’s earnings last week. For those of you keeping up with my work, you’ll remember I previously suggested watching the financials to see if they can get going. Technology and semiconductors continue to stall, but the financials have been moving up.
Moving to the industrials sector, Boeing (BA) has been under pressure of late, but another Dow component is surging to the fore. The industrials are an important sector of the economy. We want to see this sector break out after being stuck for 21 months. UTX is a Dow component and a major influence in the sector, and its chart is now lining up at the previous highs.
The top two indicators show UTX as just a middle-of-the-road stock that tracks the large caps and floats around the 50% level against its peers in terms of price performance…. – READ MORE (click here to see charts)
Also, if you would like to connect with my new newsletter service, go to GregSchnell.com and click on the “Private Investors” tab. If you select the annual membership and use the coupon FOUNDER, you’ll get the founding members’ price, which will never change. That price is $285, or a little over $5 a week. Get it now!
Greg Schnell, CMT, MFTA
Senior Technical Analyst, StockCharts.com
Author, Stock Charts For Dummies
Stock Market Outlook for October 24, 2019 – EquityClock.com 📊
The number of new 52-week highs on the NYSE is on a rebound. At the start of October, the level of new highs hit a low of 16, hovering around levels seen in the fourth quarter of last year during the market swoon. The level is now up to 205, moving back into a range that is consistent with higher equity prices on a broader scale. This is also helping the NYSE Cumulative Advance-Decline line, which is charting new all-time highs. Weakness in these two indicators were two of the technical signals that hinted of a downturn in stocks through the last three months of last year; clearly the warning signs are not present this time around. – READ MORE (click here to see seasonal charts)
Tech Talk is a free stock market letter service available at TimingTheMarkets.com and EquityClock.com. Ask us about the Seasonal Advantage Portfolio.
The Systematic Investor Series #58 – October 20th, 2019 📻
This week, the team discuss Bank of America’s declaration of the end of the traditional 60/40 portfolio, the different attitudes to having ‘insurance’ in the markets, the reasons why too many fund managers are aiming for average returns, and the importance of consistently being present to profit from the biggest price moves. Questions they cover this week include: what can be considered a large enough sample size when performing a backtest? What is the best investing advice you have ever received? Should Trend Following funds screen potential clients? How do you deal with positions that show no price movement for a period of time?
BREAKOUTS, MOMENTUM PLAYS, & BOTTOMS 📈
Protech Home Medical (TSXV:PTQ)
TransAlta Renewables (TSX:RNW)
Russel Metals (TSX:RUS)
West Fraser Timber (TSX:WFT)
MOMENTUM ALERT SIGNALS 📡
Have a great day! 🙂
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