Tech Talk for Friday September 6th 2024
U.S. equity index futures were lower this morning. S&P 500 futures were down 16 points at 8:30 AM EDT.
S&P 500 futures recovered 9 points following release of the U.S. August Employment Report at 8:30 AM EDT. Consensus for August Non-farm Payrolls was 164,000 versus 114,000 in July. Actual was 142,000. Consensus for the August Unemployment Rate was a slip to 4.2% from 4.3% in July. Actual was 4.2%. Consensus for August Hourly Earnings was an increase of 0.3% versus a gain of 0.2% in July Actual was an increase of 0.4%. On a year-over-year basis, consensus for August Hourly Earnings was an increase of 3.7% versus a gain of 3.6% in July. Actual was 3.7%.
Note that the S&P 500 Index dropped below its 20 and 50 day moving averages late yesterday.
The Canadian Dollar added 0.09 to US74.19 cents following release of Canada's August Employment Report at 8:30 AM EDT. Consensus for August Employment was an increase of 25,600 versus a decline of 2,800 in July Actual was an increase of 22,100. Consensus for the August Unemployment Rate was an increase to 6.5%. Actual was an increase to 6.6%.
Broadcom dropped $7.32 to $145.50 despite reporting higher than consensus fiscal third quarter results. The stock moved lower after guidance for the fourth quarter was less than consensus.
![clip_image001[1]](http://www.timingthemarket.ca/techtalk/wp-content/uploads/2024/09/clip_image0011-1.png "clip_image001[1]")
Samsara advanced $2.53 to $41.78 after offering positive third quarter guidance.
![clip_image002[1]](http://www.timingthemarket.ca/techtalk/wp-content/uploads/2024/09/clip_image0021-2.png "clip_image002[1]")
UiPath gained $1.08 to $13.82 after reporting higher than consensus second quarter revenues. The company also raised guidance.
![clip_image003[1]](http://www.timingthemarket.ca/techtalk/wp-content/uploads/2024/09/clip_image0031-1.png "clip_image003[1]")
EquityClock's Stock Market Outlook for September 6th
The decline in the price of Oil below significant support at $70 risks a flaring of credit spreads as fundamental conditions deteriorate. See:
https://equityclock.com/2024/09/05/stock-market-outlook-for-september-6-2024/
Technical Notes
The prices of medium and long term U.S. and Canadian Government bonds and related ETFs moved higher extending intermediate uptrends. IEF moved above US$ 98.29, ZFM.TO moved above Cdn$14.82 and TLT moved above US$99.61
Copart $CPRT a NASDAQ 100 stock moved below $49.07 extending an intermediate downtrend.
Emerson Electric $EMR an S&P 100 stock moved below $98.79 extending an intermediate downtrend.
Couche Tard $ATD.TO moved below Cdn$73.49 and Cdn$72.71 extending an intermediate downtrend. The company reported less than consensus quarterly results.
Trader's Corner
Equity Indices and Related ETFs
Daily Seasonal/Technical Equity Trends for September 5th 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 September 5th 2024
Green: Increase from previous day
Red: Decrease from previous day
Sectors
Daily Seasonal/Technical Sector Trends for September 5th 2024
Green: Increase from previous day
Red: Decrease from previous day
Chart of the Day: Natural Gas
Technical score increased from -2 to 0 when the ETN moved above its 20 day moving average. Strength is related to a tropical storm moving toward the Gulf of Mexico. See: https://x.com/spann/status/1831643729372893329/photo/1 Weather conditions in the area are set for development of a major hurricane. Seasonal influences historically have turned positive on September 3rd. See https://charts.equityclock.com/natural-gas-futures-ng-seasonal-chart
Links offered by valued providers
Recent Economic Data "Elevates Spotlight" on August Jobs Report: Liz Ann Sonders
Editor's Note: See comments on bond yields
Recent Economic Data "Elevates Spotlight" on August Jobs Report - YouTube
How to Protect Your Portfolio From Volatility: Guy Adami, Dan Nathan and Carter Worth
How to Protect Your Portfolio From Volatility - YouTube
Stocks Flirting With Disaster: Guy Adami, Dan Nathan and Liz Young
Editor's Note: See Factset study on changes in consensus for third quarter S&P 500 and sector earnings (near the 44 minute mark).
Stocks Flirting With Disaster - YouTube
Kamala Harris's corporate tax plan could cut S&P 500 earning by 5%: Goldman Sachs
Could NVDA Really Fall To $50?! Tom Bowley
Note comment on the VIX Index and U.S Financials (XLF) near the 16 minute mark
https://www.youtube.com/watch?v=BpLqkNIvYn4
S&P 500 Momentum Barometers
The intermediate term Barometer dropped another 3.40 to 67.20. It remains Overbought. Daily trend has started to turn down.
The long term Barometer dropped another 2.40 to 71.20. It remains Overbought. Daily trend has started to turn down.
TSX Momentum Barometers
Intermediate term Barometer was unchanged at 50.00. It remains Neutral.
The long term Barometer slipped another 1.33 to 67.70. It remains Overbought.
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
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