Tech Talk for Tuesday June 16th 2020

U.S. equity index futures were higher this morning. S&P 500 futures were up 68 points in pre-opening trade. Index futures responded to news that the Trump Administration is planning a 1 trillion infrastructure package to stimulate the U.S. economy. U.S. construction stocks were notably stronger. Gains accelerated on news of a new steroid coronavirus treatment.

Index futures moved higher following release of the May U.S. Retail Sales report at 8:30 AM EDT. Consensus was an increase of 7.7% versus a decline of 16.4% in April. Actual was an increase of 17.7% . Excluding auto sales, consensus for May Retail Sales was an increase of 5.1% versus a drop of 17.2% in April. Actual was an increase of 12.4%

Federal Reserve Chairman Jerome Powell is scheduled to give his semi-annual testimony to Congress this morning at 10:00 AM EDT. More information on the Federal Reserve's corporate bond purchase plan is expected to be revealed.

Goldman Sachs gained $4.57 to $210.88 after JP Morgan raised its target price from $203 to $215.

Lennar advanced $0.50 to $64.00 after reporting higher than consensus quarterly earnings. In addition, Wedbush raised its target price on the stock from $63 to $68.

Lowe's gained $1.47 to $129.20 after Credit Suisse raised its target price from $130 to $140.

EquityClock's Daily Market Comment

Following is a link:

http://www.equityclock.com/2020/06/15/stock-market-outlook-for-june-16-2020/

Note seasonality chart on the Empire State Manufacturing Survey.

Technical Notes

ARC Resources (ARX), a former TSX 60 stock moved below $4.88 completing a double top pattern.

Enbridge (ENB), a TSX 60 stock moved below $41.25 completing a double top pattern.

Trader's Corner

Equity Indices and related ETFs

Daily Seasonal/Technical Equity Trends for June 15th 2020

Green: Increase from previous day

Red: Decrease from previous day

Commodities

Seasonal/Technical Commodities Trends for June 15th 2020

Green: Increase from previous day

Red: Decrease from previous day

Sectors

Daily Seasonal/Technical Sector Trends for June 15th 2020

Green: Increase from previous day

Red: Decrease from previous day

Technical Scoop

Thank you to David Chapman and www.enrichedinvesting.com for a link to their weekly comment. Headline reads, "Party end, grinding down, dollar rally, bonds up, gold rises, oil falls, unemployment surges, vacancies decline". Following is the link:

http://enrichedinvesting.com/wp-content/uploads/2020/06/Party-end-grinding-down-dollar-rally-bonds-up-gold-rises-oil-falls-unemployment-surges-vacancies-decline.pdf

S&P 500 Momentum Barometer

The Barometer added 2.81 to 83.77 yesterday. It remains extremely intermediate overbought.

TSX Momentum Barometer

The Barometer added 4.98 to 80.54 yesterday. It remains extremely intermediate overbought.

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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