Tech Talk for Tuesday May 15th 2018

U.S. equity index futures were lower this morning. S&P 500 futures were down 11 points in pre-opening trade.

Index futures moved lower following release of economic news at 8:30 AM EDT. Consensus for April Retail Sales was an increase of 0.3% versus a revised gain of 0.8% in March. Actual was an increase of 0.3%. Excluding auto sales, consensus for April Retail Sales was an increase of 0.5% versus a revised gain of 0.4% in March. Actual was an increase of 0.3%. Consensus for May Empire State Manufacturing Survey was a slip to 15.5 from 15.8 in April. Actual was 20.1

Home Depot dropped $5.32 to $185.61 after reporting lower than consensus first quarter sales

Agilent fell $4.11 to $65.10 after reporting lower than consensus quarterly results.

Mosaic (MOS $27.17) is expected to open higher after Stifel Nicolaus raised its target price to $32 from $28.

CF Industries (CF $40.47) is expected to open higher after Stifel Nicolaus increased its target price to $43 from $37.

Micron added $0.67 to $53.67 after Stifel Nicolaus raised its target price to $101 from $95.

Ford slipped $0.08 to $11.10 after Piper Jaffray downgraded the stock to Neutral from Overweight.

EquityClock's Daily Market Comment

http://www.equityclock.com/2018/05/14/stock-market-outlook-for-may-15-2018/

Note seasonality charts on the Energy and Health Care sectors as well as the Russell 2000 Index.

Observations

U.S. Healthcare sector came alive yesterday, particularly biotech stocks and related ETFs. Typical prior to the ASCO conference in early June!

Canadian energy stocks continue moving higher during their period of seasonal strength lasting to early June. TSX Energy Index moved to a 14 month high.

Notably stronger were "gassy" and oil services stocks (e.g. Precision Drilling moving briefly above $4.84)

Canadian Cannabis stocks and related ETFs responded to merger news (e.g. Aurora Cannabis offer for MedReleaf). HMMJ moved above a base building pattern on a move above $17.32.

StockTwits Released Yesterday @EquityClock

Technical action by S&P 500 stocks to 10:00: Bullish. Intermediate breakouts: $DLPH $BAC $C $ROK $QCOM $VRSN $CF $FBT $UNH. Breakdown: $XRX

Editor's Note: After 10:00 AM EDT, breakouts included A, CBS, DIS and TSCO. No breakdowns.

Base Metals ETF $PICK moved above $36.37 setting an intermediate uptrend.

UnitedHealth Group $UNH, a Dow Jones Industrial stock moved above $241.67 extending an intermediate uptrend.

Rogers Communications $RCI $RCI.B.CA moved above $48.48 U.S. extending an intermediate uptrend.

EAFE iShare $EFA moved above $72.03 setting intermediate uptrend.

NASDAQ Biotech ETF $IBB moved above $108.07 completing a double bottom pattern.

'Tis the season for the Biotech sector to move higher prior to the ASCO conference in Chicago: June 1-5th $IBB $BBH $FBT

Editor's Note: FBT recorded a similar breakout.

Canadian Natural Resources $CNQ.CA $CNQ, a TSX 60 stock moved above $46.99 Cdn. to an all-time high extending an uptrend.

Toromont Industries $TIH.CA moved above $58.55 to an all-time high extending an intermediate uptrend.

Walt Disney $DIS, a Dow Jones Industrial stock moved above $102.71 completing a base building pattern.

Europe iShares $IEV moved above $48.38 extending an intermediate uptrend.

Trader's Corner

Daily Seasonal/Technical Equity Trends for May 14th 2018

Green: Increase from previous day

Red: Decrease from previous day

Daily Seasonal/Technical Commodities Trends for May 14th 2018

Green: Increase from previous day

Red: Decrease from previous day

Daily Seasonal/Technical Sector Trends for May 14th 2018

Green: Increase from previous day

Red: Decrease from previous day

S&P 500 Momentum Barometer

The Barometer added 0.20 to 62.40 yesterday. It remains intermediate overbought.

TSX Momentum Barometer

The Barometer added 0.41 to 69.57 yesterday. It remains intermediate overbought.

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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