Tech Talk for Wednesday April 17th 2024

U.S. equity index futures were higher this morning. S&P 500 futures were up 13 points at 8:30 AM EDT.

Take Two Interactive added $1.55 to $147.00 after the company announced a cost cutting program.

JB Hunt Transport dropped $9.99 to $173.00 after forecasting lower volumes.

United Airlines gained $2.03 to $43.55 after forecasting fiscal second quarter above consensus estimates.

Travellers dropped $6.12 to $217.00 after reporting less than consensus first quarter earnings.

Technical Notes

Solar ETF $TAN moved below $40.15 extending an intermediate downtrend.

Berkshire Hathaway $BRK.B an S&P 100 stock moved below $398.78 completing a double top pattern.

Bank of New York Mellon an S&P 100 stock moved below $53.40 setting an intermediate downtrend.

Ford $F an S&P 100 stock moved below $11.98 and $11.95 setting an intermediate downtrend.

Target $TGT an S&P 100 stock moved below intermediate support at $162.71.

Dollar Tree $DLTR a NASDAQ 100 stock moved below $124.01 extending an intermediate downtrend.

Emera $EMT.TO a TSX 60 stock moved below $46.23 and $45.94 setting an intermediate downtrend.

Fortis $FTS.TO a TSX 60 stock moved below $51.13 extending an intermediate downtrend.

Trader's Corner

Equity Indices and Related ETFs

Daily Seasonal/Technical Equity Trends for April 16th 2024

Green: Increase from previous day

Red: Decrease from previous day

Source for all positive seasonality ratings: www.EquityClock.com

Commodities

Daily Seasonal/Technical Commodities Trends for April 16th 2024

Green: Increase from previous day

Red: Decrease from previous day

Sectors

Daily Seasonal/Technical Sector Trends for April 16th 2024

Green: Increase from previous day

Red: Decrease from previous day

Links offered by valued providers

Is Market Breadth Signaling THE TOP?! David Keller

Is Market Breadth Signaling THE TOP?! - YouTube

SP500 Technical Analysis 4-16-24 (Elliott Wave Theory)

SP500 Technical Analysis 4-16-24 (Elliott Wave Theory) - YouTube

The Chances of a Market CRASH: Tom Bowley

The Chances of a Market CRASH - YouTube

Powell Says Fed Policy Will Likely Need More Time to Work

Powell Says Fed Policy Will Likely Need More Time to Work - YouTube

VIX Above 20 Will Trigger Selling Surge: Tom Bowley

VIX Above 20 Will Trigger Selling Surge - YouTube

Budget announcements impacting TSFAs and capital gains

Source: BNNBloomberg

"Budget 2024 announces the government's intention to increase the inclusion rate on capital gains realized annually above $250,000 by individuals and on all capital gains realized by corporations and trusts from one-half to two-thirds, by amending the Income Tax Act, effective June 25, 2024," the budget reads.

"The inclusion rate for capital gains realized annually up to $250,000 by individuals will continue to be one-half."

Around 12 per cent of Canadian companies would be subject to the higher inclusion rate, according to the federal government. While around 0.13 per cent of Canadians with average incomes of $1.42 million are believed to see their personal income tax on capital gains rise due to the proposed amendment.

John Oakey, the VP of taxation at CPA Canada, said in an interview with BNNBloomberg.ca Tuesday some may try to solidify gains while they can under the current rules.

"It will probably result in some planning to try to determine if corporations, businesses or even individuals want to trigger any of their capital gains in anticipation of the June 25 date and do it prematurely to try to get under the 50 per cent inclusion rate instead the two thirds," he said.

The Department of Finance said that middle-class Canadians will continue to benefit from various exemptions. This includes the $250,000 annual threshold, tax-free savings accounts (TFSAs), the principal residence exemption as well as exemptions for registered pension plans.

S&P 500 Momentum Barometers

The intermediate term Barometer dropped another 5.60 to 30.80. It remains Oversold. Daily trend remains down.

The long term Barometer dropped 1.40 to 68.80. It remains Overbought. Daily trend remains down.

TSX Momentum Barometers

The intermediate term Barometer dropped another 2.68 to 50.00. It remains Neutral. Daily trend is down.

The long term Barometer slipped 0.45 to 63.39. It remains Overbought. Daily trend is down.

Disclaimer: Seasonality ratings 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