Tech Talk for Friday May 18th 2018

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

The Canadian Dollar slipped 0.11 to U.S. 78.00 cents following release of economic news at 8:30 AM EDT. Consensus for March Retail Sales was an increase of 0.1% versus a gain of 0.4% in February. Actual was an increase of 0.6%. Consensus for April Consumer Price Index was an increase of a year-over-year basis of 2.2% versus a gain of 2.3% in March. Actual was an increase of 2.2%

Wal-Mart dropped $0.09 to $84.40 after Cowen and Raymond James reduced their target price on the stock.

Campbell Soup fell $2.22 to $37.00 after lowering earnings guidance.

Applied Materials eased $3.04 to $50.92 after the company reported less than consensus second quarter sales.

EquityClock's Daily Market Comment

Following is a link:

http://www.equityclock.com/2018/05/17/stock-market-outlook-for-may-18-2018/

Note seasonality chart on the Philly Fed Index.

Upcoming BNN Appearance:

Jon Vialoux will be on BNN's Market Call Tonight at 6:00pm ET tonight, May 18th taking your calls on Technical Analysis and Seasonal Investing.  CALL TOLL-FREE 1-855-326-6266, EMAIL marketcall@bnnbloomberg.ca,  or TWEET @MarketCall  Be sure to send in your video questions for priority response on air.

Observations

Energy on both sides of the border remains the strongest sector. The S&P Energy Index moved to a 3 year high yesterday on a move above 579.19.

Yield on 30 Year Treasuries moved to a 40 month high on a move above 3.25%.

StockTwits Released Yesterday @EquityClock

Technical action by S&P 500 stocks to 10:00: Bullish. Intermediate breakouts: $TIF $COST $APA $HAL $NE $AIZ $ALB $DWDP. Breakdown: $PPL.

Editor's Note: After 10:00 AM EDT, breakouts included EQT, CI, ULTA, MET and IR. Breakdowns included XEL, EQR, AIV and PCG.

Long term Treasuries Bond iShares $TLT moved below $116.68 extending an intermediate downtrend.

SunLife Financial $SLF.CA, a TSX 60 stock moved above $55.80 to an all-time high extending an intermediate uptrend.

DowDupont $DWDP, a Dow Jones Industrial stock moved above $68.36 setting an intermediate uptrend.

Energy stocks prominent on the list of S&P 500 breakouts this morning: $APA $HAL $NE

Oil Services ETF $OIH moved above $29.53 extending an intermediate uptrend.

Another Canadian energy breakout! Freehold Royalities $FRU.CA moved above $13.82 extending an intermediate uptrend.

Editor's Note: Later, another "gassy" stock Birchcliffe also broke to new highs.

Soybean ETN $SOYB moved below $18.21 setting intermediate downtrend.

Trader's Corner

Daily Seasonal/Technical Equity Trends for May 17th 2018

Green: Increase from previous day

Red: Decrease from previous day

Daily Seasonal/Technical Commodities Trends for May 17th 2018

Green: Increase from previous day

Red: Decrease from previous day

Daily Seasonal/Technical Sector Trends for May 17th 2018

Green: Increase from previous day

Red: Decrease from previous day

Keith Richards' Blog

Keith talks about turn around stories. Following is a link:

http://www.valuetrend.ca/turnaround-stories/

S&P 500 Momentum Barometer

The Barometer added 0.40 to 58.80 yesterday. It remains intermediate neutral.

TSX Momentum Barometer

The Barometer slipped 1.23 to 67.49 yesterday. It remains 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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