Equity Clock

Stock Market Outlook for March 15, 2021

Employment in Canada snapped back in February, but it is the implications for investment portfolios that has our attention.

 

 

 

*** Stocks highlighted are for information purposes only and should not be considered as advice to purchase or to sell mentioned securities.   As always, the use of technical and fundamental analysis is encouraged in order to fine tune entry and exit points to average seasonal trends.

Stocks Entering Period of Seasonal Strength Today:

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Entergy Corp Hldg Co. (NYSE:ETR) Seasonal Chart

PPL Corp. (NYSE:PPL) Seasonal Chart

Lincoln Electric Holdings, Inc. (NASD:LECO) Seasonal Chart

Ritchie Bros Auctioneers (NYSE:RBA) Seasonal Chart

Targa Resources Corp. (NYSE:TRGP) Seasonal Chart

Dollar General Corp. (NYSE:DG) Seasonal Chart

Kansas City Southern Corp. (NYSE:KSU) Seasonal Chart

Teledyne Technologies (NYSE:TDY) Seasonal Chart

ENI S.P.A. (NYSE:E) Seasonal Chart

Pembina Pipeline Corp. (NYSE:PBA) Seasonal Chart

WisdomTree Japan SmallCap Dividend Fund (NYSE:DFJ) Seasonal Chart

iShares MSCI Norway Capped ETF (AMEX:ENOR) Seasonal Chart

iShares Global Utilities ETF (NYSE:JXI) Seasonal Chart

PIMCO 15+ Year U.S. TIPS Index ETF (NYSE:LTPZ) Seasonal Chart

iShares MSCI Japan Small-Cap ETF (NYSE:SCJ) Seasonal Chart

FlexShares Morningstar Developed Markets ex-US Factor Tilt Index Fund (AMEX:TLTD) Seasonal Chart

Principal Financial Group (NASD:PFG) Seasonal Chart

Manchester United Ltd. (NYSE:MANU) Seasonal Chart

 

 

The Markets

Stocks closed mixed on Friday as weakness in the technology sector re-emerged following this week’s snap-back.  The S&P 500 Index closed higher by a mere tenth of one percent, basically pausing after a valiant attempt to reach closer to the important psychological hurdle around 4000.  The benchmark has retaken levels back above both its 20 and 50-day moving averages and a MACD buy signal was triggered in the Thursday session.  However, momentum indicators, including MACD and RSI, continue to negatively diverge from price, emphasizing that buying demand has been waning at these market heights.  Downside risks remain to the previous horizontal resistance at 3550.  Through the back half of March and the last couple of weeks of the quarter, portfolio rebalancing and mean-reversion is likely to be a significant factor behind market performance, potentially capping the benchmark until the new month and quarter begins in April.  So far, we have been proven wrong with our assertion, but the risks of this rotation are certainly elevated.

Today, in our Market Outlook to subscribers, we discuss the following:

• Weekly look at the S&P 500 Index and what the technicals are saying
• The important juncture for the Technology sector and the strategy we are looking to pursue
• Canada Labour Force Survey
• The Canadian Dollar

Subscribe now and we’ll send this outlook to you.

Sentiment on Friday, as gauged by the put-call ratio, ended bullish at 0.77.

 

 

 

Seasonal charts of companies reporting earnings today:

 

 

S&P 500 Index

 

 

TSE Composite

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