Heavy resistance at 1161 turns back INK Canadian Insider Index

Thank you for joining us in a weekly technical look at the mid-cap oriented INK Canadian Insider (CIN) Index. After enjoying a strong multi-week advance, the Index finally pulled back last week, shedding 22.4 points or 1.9% to close at 1135.41.

MACD dropped 3.9 points to hit -5.37. Our near-term momentum indicator, RSI, which ended the previous week at an elevated reading of 75.05, then plunged 23.65 points or 32% to close at 51.05. Overbought conditions have been fully worked off.

Support moves down to 1120 and 1100. Resistance is now at 1144 (20-day moving average) and 1161 (which turned back the Index last week).

Copper retreated 1.3% last week, while the INK CIN and broad markets followed on cue. What now? I think metals, miners, and markets could see a few more days of correction and/or chop before beginning to turn up. In fact, I think we'll see commodities and resource stocks join the INK CIN Index for another strong move to the upside.

The INK Canadian Insider Index is used by the Horizons Cdn Insider Index ETF (HII), a 2017 and 2018 Fundata Fundgrade A+ (R) award winner.