Tech Talk for Wednesday October 21st 2020

Long term U.S. Treasury iShares (TLT) moved below $158.28 extending a short term downtrend.

Chile iShares (ECH) moved above $24.44 extending an intermediate uptrend. Units are responding to higher copper prices. Chile is the world's largest copper producing country.

Biogen (BIIB), a NASDAQ 100 stock moved below $265.05 extending an intermediate downtrend. The stock responded to disappointing third quarter results.

Pre-opening Comments for Wednesday October 21st

U.S. equity index futures were higher this morning. S&P 500 futures were up 5 points in pre-opening trade.

The Canadian Dollar was virtually unchanged at U.S.76.23 cents following release of Canada's economic news at 8:30 AM EDT. Consensus for August Retail Sales report was an increase of 1.1% versus a gain of 0.6% in July. Actual was an increase of 0.4%. Consensus for the September Consumer Price Index was a drop of 0.1% versus a drop of 0.1% in August. Actual was a drop of 0.1%

Netflix dropped $26.42 to $499.00 after reporting less than consensus third quarter earnings.

Canadian National Railway slipped $2.38 to Cdn$143.57 after reporting lower than consensus third quarter earnings.

Abbott Labs advanced $1.46 to $109.82 after reporting higher than consensus third quarter revenues and earnings.

AutoNation jumped $5.97 to $69.00 after reporting higher than consensus third quarter earnings. The company also boosted its stock buyback authority to $500 million.

EquityClock's Daily Comment

Following is a link:

http://www.equityclock.com/2020/10/20/stock-market-outlook-for-october-21-2020/

Note seasonality charts on the Dow Jones Industrial Average and U.S. Housing Starts

Technical Notes for Tuesday October 20th

Magna International (MG), a TSX 60 stock moved above $71.00 extending an intermediate uptrend.

Base Metals ETN (DBB), one third each in copper, zinc and aluminum, moved above $15.81 extending an intermediate uptrend.

Spot Copper futures moved above $3.12 to $3.15 per lb. extending an intermediate uptrend.

Southern Copper (SCCO), one of the biggest copper producers in the world, moved above $49.12 extending an intermediate uptrend.

Hudbay Minerals (HBM.TO), a Canadian copper miner moved above Cdn$6.34 extending an intermediate uptrend.

Freeport McMoran (FCX), another major copper producer moved above $17.50 extending an intermediate uptrend. Responding to higher copper prices.

Philip Morris (PM), an S&P 100 stock moved below $$73.45 after reporting third quarter results completing a double top pattern.

Trader's Corner

Equity Indices and Related ETFs

Daily Seasonal/Technical Equity Trends for October 20th 2020

Green: Increase from previous day

Red: Decrease from previous day

Commodities

Daily Seasonal/Technical Commodities Trends for October 20th 2020

Green: Increase from previous day

Red: Decrease from previous day

Sectors

Daily Seasonal/Technical Sector Trends for October 20th 2020

Green: Increase from previous day

Red: Decrease from previous day

Presidential Cycle

Stockcharts offered a panel of technical experts to discuss the topic. Following is a link:

https://www.youtube.com/watch?v=01N6lB4Nwos&feature=youtu.be&ab_channel=StockCharts

S&P 500 Momentum Barometer

The Barometer added 2.01 to 63.05 yesterday. It remains intermediate overbought.

TSX Momentum Barometer

The Barometer added 2.39 to 53.33 yesterday. It remains intermediate neutral.

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