Tech Talk for Thursday June 14th 2018

U.S. equity index futures were higher this morning. S&P 500 futures were up 7 points in pre-opening trade.

Index futures moved higher after the European Central Bank announced the tapering of its Quantitative Easing program beginning in September. Its overnight lending rate was unchanged

Index futures were virtually unchanged following release of economic news at 8:30 AM EDT. Consensus for Weekly Jobless Claims was an increase to $224,000 from 222,000 last week. Actual was 218,000. Consensus for May Retail Sales was an increase of 0.4% versus a gain of 0.2% in April. Actual was an increase of 0.8%. Excluding auto sales, consensus for May Retail Sales was an increase of 0.5% versus a gain of 0.3% in April. Actual was an increase of 0.8%.

Comcast added $0.10 to $32.42, Fox gained $0.73 to $44.14 and Disney slipped $0.35 to $105.96 after Comcast offered $65 billion cash for Fox assets. The offer topped Disney's share offer by 19%.

Oracle dropped $1.11 to $47.16 after JP Morgan downgraded the stock to Neutral from Overweight.

EquityClock's Daily Market Comment

Following is a link:

http://www.equityclock.com/2018/06/13/stock-market-outlook-for-june-14-2018/

Note seasonality charts on the Producer Price Index, Crude Oil Days of Supply and Gasoline Days of Supply.

Observations

Responses to Federal Reserve's 2:00 PM EDT decision to raise the Fed Fund rate by 0.25% to 1.75-2.00%

Equity indices initially were mixed, but moved lower in late trade

Treasury yields initially soared

The VIX Index soared

The U.S. Dollar Index and its related ETF initially moved higher, but closed virtually unchanged.

Grain prices remain under technical pressure. Soybean ETN joined the breakdown by the CORN ETN yesterday.

The Federal judge ruling to allow AT&T to take over Time Warner triggered anticipation of other takeover/mergers in the industry. Media ETF moved to another all-time high.

Lumber stocks are responding to the double top pattern in lumber prices. Canadian lumber stocks were particularly hard hit.

StockTwits Released Yesterday @EquityClock

Technical action by S&P 500 stocks to 10:00: Bullish. Intermediate breakouts: $DISH $DIS $GRMN $DISCK $CA $RHT $INCY. Breakdown: $HRB

Editor's Note: After 10:00, breakouts included DISCA, FTV, RRC, TTWO and DVN. Breakdowns included PSX and IPGP.

Disney $DIS, a Dow Jones Industrial stock moved above $105.49 extending an intermediate uptrend.

Fertilizer ETF $SOIL moved above $10.81 extending an intermediate uptrend

National Bank $NA.CA, a TSX 60 stock moved above $63.69 extending an intermediate uptrend

Turkey iShares $TUR moved below $30.61 extending an intermediate downtrend.

WestJet $WJA.CA moved below $19.04 extending an intermediate downtrend.

Agnico-Eagle $AEM, a TSX 60 stock moved above $45.91 U.S. extending an intermediate uptrend.

First Majestic Silver $FR.CA $AG moved above $10.06 Cdn. extending an intermediate uptrend.

Trader's Corner

Daily Seasonal/Technical Equity Trends for June 13th 2018

Green: Increase from previous day

Red: Decrease from previous day

Daily Seasonal/Technical Commodities Trends for June 13th 2018

Green: Increase from previous day

Red: Decrease from previous day

Daily Seasonal/Technical Sector Trends for June 13th 2018

Green: Increase from previous day

Red: Decrease from previous day

Keith Richards' Blog

Bear-o-meter bewilderment. Following is a link:

https://www.valuetrend.ca/bear-o-meter-bewilderment/

S&P 500 Momentum Barometer

The Barometer plunged 5.60 to 69.00 yesterday. It remains intermediate overbought and has started to show signs of rolling over.

TSX Momentum Barometer

The Barometer dropped 2.50 to 67.08 yesterday. It remains intermediate overbought and showed more signs of rolling over.

Disclaimer: Seasonality and technical ratings offered in this report and at

www.equityclock.com are for information only. They should not be considered as advice to purchase or to sell mentioned securities. Data offered in this report is believed to be accurate, but is not guaranteed

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