Tech Talk for Friday September 21st 2018

U.S. equity index futures were mixed this morning. S&P 500 futures were unchanged in pre-opening trade.

Today is Quadruple Witching Day. Volumes on U.S. exchanges are expected to be elevated.

The Canadian Dollar was virtually unchanged following release of economic news released at 8:30 AM EDT. Consensus for August Consumer Prices was a year-over-year increase of 2.8%. Actual was an increase of 2.8%. Consensus for July Retail Sales was an increase of 0.3%. Actual was an increase of 0.3%.

Micron dropped $1.77 to $44.29 after the company lowered its fiscal first quarter guidance.

Texas Instruments gained $2.29 to $110.78 after the company announced a 24% increase in its quarterly dividend. The company also announced a $12 billion share buyback program.

Ingersoll Rand (IR $103.44) is expected to open higher after JP Morgan raised its rating to Overweight from Neutral.

Darden Restaurants (DRI $116.45) is expected to open higher after Stifel Nicolaus and SunTrust raised their target price on the stock.

EquityClock's Daily Market Comment

Following is a link:

http://www.equityclock.com/2018/09/20/stock-market-outlook-for-september-21-2018/

Note seasonality charts on the Dow Jones Industrial Average, U.S. Financial sector, Existing Home Sales, Inventory of Existing Home Sales, Median Sales Price of Existing Homes and the Philly Fed Index.

Observations

The S&P 500 Index and Dow Jones Industrial Average moved to all-time highs shortly after the opening yesterday.

Editor's Note: International equity markets and related ETFs were even stronger than North American equity markets thanks partially to weakness in the U.S. Dollar and corresponding strength in developed nation currencies.

StockTwits Released Yesterday @EquityClock

Materials SPDRs $XLB moved above $60.92 setting an intermediate uptrend.

Editor's Note: Strength in the sector was led by gains in the chemical sub-sector.

Energy SPDRs $XLE moved above $75.54 setting an intermediate uptrend.

Fertilizer ETF $SOIL moved above $10.93 extending an intermediate uptrend.

Base Metals iShares $PICK moved above $31.99 completing a double bottom pattern.

Editor's Note: Base metal equity prices were helped by strength in the copper ETN above $30.25 completing a base building pattern.

S&P 500 SPDRs $SPY moved above $291.74 to an all-time high extending an intermediate uptrend.

U.S. Dollar Index ETN $UUP moved below $$25.01 setting an intermediate downtrend.

Editor's Note: Conversely, the Euro moved above 117.34 completing a base building pattern.

And the Canadian Dollar extended an intermediate uptrend on a move above U.S. 77.60.

And the British Pound started an intermediate uptrend on a move above 131.32.

JP Morgan $JPM, a Dow Jones Industrial stock moved above $118.29 to an all-time high extending an intermediate uptrend.

CGI Group $GIB, a TSX 60 stock moved above $66.32 U.S. to an all-time high extending an intermediate uptrend.

Magna International $MG.CA $MGA, a TSX 60 stock moved above $72.74 Cdn completing a base building pattern.

Fortis $FTS.CA, a TSX 60 stock moved below $42.05 setting an intermediate downtrend.

Natural Gas ETN $UNG moved above $24.41 and $24.52 extending an intermediate uptrend.

Gains were helped by another small increase in storage last week. Inventories remain well below their five year average.

Note: The shaded area indicates the range between the historical minimum and maximum values for the weekly series from 2013 through 2017. The dashed vertical lines indicate current and year-ago weekly periods.

'Tis the season for Natural Gas to move higher to late December.

Another base metals stocks breakout: Hudbay Minerals $HBM.CA.

TSX Financials Index and related ETF $XFN.CA moved above $38.85 to an all-time high extending an intermediate uptrend.

Consumer Staples $SPDR moved above $55.31 extending an intermediate uptrend.

Pharmaceutical ETF $PPH moved above $64.45 extending an intermediate uptrend.

South Korea iShares $EWY moved above $67.70 completing a reverse Head & Shoulders pattern.

Philadelphia #Manufacturing Business Outlook Survey rebounds in September to +26.6 (NSA), above +18.4 average. $MACRO #Economy

US Existing Home Sales up 3.1% (NSA) in August, slightly better than the 2.9% average gain for the month. $MACRO #Economy #Housing

Trader's Corner

Daily Seasonal/Technical Equity Trends for September 20th 2018

Green: Increase from previous day

Red: Decrease from previous day

Commodities

Daily Seasonal/Technical Commodities Trends for September 20th 2018

Green: Increase from previous day

Red: Decrease from previous day

Sectors

Daily Seasonal/Technical Sector Trends for September 20th 2018

Green: Increase from previous day

Red: Decrease from previous day

S&P 500 Momentum Barometer

The Barometer gained 4.20 to 72.40 yesterday. It remains intermediate overbought.

TSX Momentum Barometer

The Barometer was unchanged yesterday at 39.75. It remains intermediate oversold and trending down.

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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