Equity Clock

Stock Market Outlook for June 21, 2021

The technicals in the market are concerning, however, the fundamental backdrop remains strong.

 

 

 

*** 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:

Subscribers – Click on the relevant link to view the full profile. Not a subscriber? Signup here.

Sprott Physical Silver Trust (TSE:PSLV/U.TO) Seasonal Chart

Franklin Electric Co., Inc. (NASD:FELE) Seasonal Chart

Towne Bank (NASD:TOWN) Seasonal Chart

Braskem SA (NYSE:BAK) Seasonal Chart

Great Southern Bancorp, Inc. (NASD:GSBC) Seasonal Chart

Blackrock MuniEnhanced Fund Inc. (NYSE:MEN) Seasonal Chart

United Therapeutics Corp. (NASD:UTHR) Seasonal Chart

Tricon Capital Group Inc. (TSE:TCN.TO) Seasonal Chart

Modine Manufacturing Co. (NYSE:MOD) Seasonal Chart

iShares Silver Bullion ETF (TSE:SVR.TO) Seasonal Chart

Radcom Ltd. (NASD:RDCM) Seasonal Chart

iShares Gold Trust (NYSE:IAU) Seasonal Chart

BlackRock MuniHoldings Investment Quality Fund (NYSE:MFL) Seasonal Chart

Sprott Physical Silver Trust ETF (NYSE:PSLV) Seasonal Chart

Aberdeen Standard Physical Silver Shares ETF (NYSE:SIVR) Seasonal Chart

 

 

The Markets

Stocks slipped on Friday as the selloff following the Fed announcement on Wednesday intensified.  The S&P 500 Index closed down by 1.31%, closing below the rising 50-day moving average for the first time since the start of March.  As highlighted in our last report, MACD has crossed below its signal line, charting a negative divergence versus price as the positive momentum in the equity market disappears.  This is a concerning technical framework, highlighting the downside risks that continue to be seen.  Now that the benchmark is below intermediate support at the 50-day, the next level to look to for buying demand to re-emerge is the May low around 4060.  Below that, we’re looking at the highs of February just below 4000.  As has been highlighted over the past week, the risk of being invested in stocks during the approximately two-week stretch between June 14th and June 27th outweighs the reward and, therefore, typically best to avoid.

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

• Weekly look at the large-cap benchmark
• Canada CPI and what is moving prices
• The Canadian dollar and how to play it
• Manufacturer sentiment and what it means for core cyclical sectors of the market
• Shipping activity and what it says about the health of the economy
• Transportation stocks

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

Sentiment on Friday, as gauged by the put-call ratio, ended close to neutral at 0.94.

 

 

Seasonal charts of companies reporting earnings today:

• No significant earnings scheduled

 

 

S&P 500 Index

 

 

TSE Composite

Sponsored By...