WEEKEND REPORT – JULY 13, 2020

MY JOURNAL FOR MONDAY MORNING – JULY 13, 2020

NEWS, BREAKOUTS, MOMENTUM PLAYS, & BOTTOMS

The Private Investor Newsletter – GregSchnell.com 📰

Hello everyone, I have moved my daily blog over to GregSchnell.com. Please check us out where you will receive access upon subscription to one strong, concise email per week. The email will contain:

  1. PDF file that will have my top ten charts of the week. This is to summarize all of the work I go through every week and give you the best information on market direction. This will also include my preferred opinion on the market: very aggressive, moderately aggressive, selective, defensive, very defensive. We want to be aggressive coming out of major lows. Theses runs can last a few weeks to months and perhaps more than a year. I will be investing in the same tone I am recommending.

  2. The weekly video which summarizes the major moves in the USA, Canada, rest of world, commodities, bonds and currencies including:

    • Commodities: Copper, steel, rare earth metals, lithium, gold, silver, oil, and natural gas, marijuana.

    • Bonds: 3 month, 2 year, 5 year, 10 year, 30 year.

    • Equities: A large part of my work makes sure that you’ll be in tune with the major moves in the indexes.The protection of capital to miss the big downside moves as well as the aggressive entries near the lows to maximize profits in the moves and keeping it as profit in your portfolio.

    • Currencies: a comprehensive look at the major currency pairs every week. These pairs can drive some of the major changes in world economics. Being aware of these changes when they occur can help you position for new strategies and selections as the changes happen.

    • Global markets are important to support major uptrends in the North American markets. A summary of this information enables you to be aware of country ETF’s that are doing well to help you diversify your portfolio across global markets.

  3. A vital chartlist that you can quickly look through with my top 30 charts at any given time. These charts will change as the market changes and will allow you to see the current status of charts I posted in the newsletter.

  4. Once a month conference call – This will be recorded and saved if you can not attend live but are still interested.

  5. Dwight Galusha also posts daily setups that are appearing on his radar. Here is an example of his chart showing the setup, and the resulting follow through:

Follow-up Chart

Award Winning Technical Analysis | Greg Schnell.com | Avoid the downside and learn to keep more of your profits. – LEARN MORE

Navigating the Market Noise

When I first got involved in the market over 14 years ago, not only was it difficult for the Canadian retail investor to find information, but it was virtually impossible. I was always good at finding nice technical chart setups but I never had a place to go seek out information. If I was lucky I’d find a tidbit of information on the only stock forum available or I’d have to watch hours of business television with the hope of my stock getting mentioned. Back then having access to any type of information was power. Today, having power means knowing what to ignore.

As I get closer to my chartered designation, I find myself being more interested in behavioral finance (psychology). When investors hear the term technical analysis they often think of lines and patterns on a stock chart. I’ve even heard skeptics call it voodoo. Although, many are not aware that the driving force behind the lines and patterns is crowd psychology. A stock chart is nothing more than a picture of human emotions. – READ MORE

Dwight Galusha, CMT, is a contributor of 5i Research is a conflict-free investment research provider for retail investors offering research reports, model portfolios and investor Q&A, which is available to try for free (Click Here).

Amazon (NASDAQ:AMZN) – Signal on  March 30st, 2020 @ $1968.47 (+62% in just over 3 months) – ALERT LINK

The following are documented trade ideas featured each week in Capital Ideas Digest 

View from the Chat Room 💻

Join the Chat by Clicking Here

BREAKOUTS, MOMENTUM PLAYS, & BOTTOMS 📈

Alimentation Couche-Tard (TSX:ATD.B) – Monthly Chart

Alimentation Couche-Tard has broken out from the continuation triangle I featured in last weeks report. Price action is now threatening to breakout to a new all-time high – “Buying stocks that are breaking out from a big base to a new high is a strategy that can not only be very powerful, but very profitable. Being able to identify this type of breakout not only allows investors to take a position in stocks during the early stages of an uptrend (often the starting point of a major price move), but also allows investors to take advantage of an asymmetrical equation that often translates into an acceleration in upside price momentum as there’s no resistance (overhead supply) from people selling at a loss (everyone in the stock is now a holding a winning position)”.

 

TECSYS (TSX:TCS) – Daily Chart

The TECSYS falling wedge setup highlighted in last weeks report had a power breakout and received a rerating from Echelon Wealth: “Ballooning organic growth and higher visibility revenues are signs that TECSYS deserves a rerating, says Echelon Capital Markets analyst Amr Ezzat, who reviewed the company’s latest quarterly results in an update to clients on Thursday.” Watch for continued upside momentum.

 

Brookfield Renewable Energy Partners (TSX:BEP.UN) – Daily Chart

Brookfield Renewable Energy Partners continues to setup in a multi-month continuation pattern. Watch for a breakout above the horizontal resistance line highlighted on the chart as it would suggest more upside momentum to follow.

 

Cameco (TSX:CCO) – Daily Chart

Cameco has broken out from a continuation pattern I highlighted last week and now price action is threatening to breakout above a major horizontal resistance line. Watch for more upside price momentum.

 

WELL Health Technologies (TSX:WELL) – Daily Chart

WELL Health Technologies is a setup that we’ve been keeping a close eye on in the Chat Room. On Thursday upside price momentum came into the name on higher than normal volume, then on Friday price action broke out above a major volume by price bar to a 2+ month high. This price action is very bullish and suggests more new highs to follow.

 

ECN Capital (TSX:ECN) – 2hr Chart

ECN Capital has formed a bull flag continuation pattern and is now pushing up against the underside of a major horizontal resistance line. What has me the most curious is the increase in volume today. Watch for a breakout.

 

Park Lawn (TSX:PLC) – Daily Chart

Park Lawn continues to setup in a bullish pennant continuation pattern while the PPO momentum indicator attempts to curl off the zero line. Watch for the breakout.

 

Sun Life Financial (TSX:SLF) – 2h Chart

Sun Life Financial is threatening to breakout from a continuation pattern while the 2hr PPO momentum indicator attempts to cross above the zero line.

 

Tricon Capital Group (TSX:TCN) – Daily Chart

Tricon Capital is setting up near the apex of a continuation triangle which is located right below gap resistance. Watch for the breakout.

 

Teck Resources (TSX:TECK.B) – Daily Chart

The Teck Resources PPO momentum indicator has begun to curl higher after successfully retesting the May breakout. This price action is very bullish and suggests an acceleration in upside price momentum could be very near.

 

Altius Minerals (TSX:ALS) – Daily Chart

Altius Minerals has started to breakout from a continuation pattern while the PPO momentum indicator begins to curl higher.

 

Alexco Resources (TSX:AXU) – Daily Chart

SetYourStop contributor Ted Simmons brought AXU.TO to my attention – Alexco Resources is setup near the apex of a giant basing pattern near a 52-week high. Watch for the breakout as it produce a new 7+ year high and suggest the beginning of a new uptrend.

Check out Ted’s most recent podcast appearance:

 

Dollarama (TSX:DOL) – Monthly Chart

Dollarama is setting up in a giant continuation pattern while the daily chart begins to curl higher off the 50-day moving average. I wouldn’t be surprised if I’m highlighting a breakout from this pattern in the near future. A breakout above the 51.92 price label would complete the pattern and suggest a continuation of the prevailing uptrend is underway.

 

Canadian National Railway (TSX:CNR) – Daily Chart

Canadian National Railway is threatening to breakout from a continuation pattern and above a major horizontal resistance line while the PPO momentum indicator attempts to curl higher.

 

Canadian Pacific Railway (TSX:CP) – Daily Chart

Canadian Pacific Railway is threatening to breakout from a continuation pattern and above a major horizontal resistance line while the PPO momentum indicator attempts to curl higher. A breakout from this pattern would be very bullish and suggest a new all-time high in the near future.

 

Premium Brands Holdings (TSX:PBH) -Daily Chart

Premium Brands is setup in an extremely tight chart pattern and appears to be coiled right below a major horizontal resistance line. This is one of my favorite types of chart setups because the breakout can be very powerful (periods of low volatility are often followed by periods of high volatility). Keep on close watch.

 

Magna (TSX:MG) – Daily Chart

Magna is threatening to breakout from a continuation triangle while the PPO momentum indicator begins to curl higher.

 

Restaurant Brands (TSX:QSR) – Daily Chart

Restaurant Brands continues to setup near the apex of a bull flag (small falling wedge) type continuation pattern and is pushing up against the underside of a major horizontal resistance line while the PPO momentum indicator attempts to curl higher.

 

TELUS (TSX:T) – 2hr Chart

TELUS had a bullish close on Friday with an increase in daily volume. Watch for a breakout this technical pattern as it would suggest a successful retest of the the May breakout.

 

Canadian Financial Institutions

All the Canadian financial institutions are still on close watch. Many of the charts are setup near the apex of a continuation pattern and threatening to breakout.

MOMENTUM ALERT SIGNALS 📡

Have a great day! 🙂

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