Stock Market Outlook for August 17, 2026
Consumer not as weak in July as what the headlines suggest.
*** 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.
Stock Highlight: |
|
Permian Resources Corporation (NYSE:PR) Seasonal Chart |
|
Invesco S&P Ultra Dividend Revenue ETF (AMEX:RDIV) Seasonal Chart
WisdomTree SmallCap Dividend Fund (NYSE:DES) Seasonal Chart
WesBanco, Inc. (NASD:WSBC) Seasonal Chart
Plug Power, Inc. (NASD:PLUG) Seasonal Chart
Balchem Corp. (NASD:BCPC) Seasonal Chart
iShares U.S. Power Infrastructure ETF (AMEX:POWR) Seasonal Chart
Bristol Myers Squibb Co. (NYSE:BMY) Seasonal Chart
Ur-Energy, Inc. (TSE:URE.TO) Seasonal Chart
MomentumShares U.S. Quantitative Momentum ETF (NASD:QMOM) Seasonal Chart
Amplify Advanced Battery Metals and Materials ETF (AMEX:BATT) Seasonal Chart
BMO MSCI Emerging Markets Index ETF (TSE:ZEM.TO) Seasonal Chart
Broadcom Inc. (NASD:AVGO) Seasonal Chart
Nexstar Media Group, Inc. (NASD:NXST) Seasonal Chart
Disclaimer: Comments and opinions offered in this report are for information only. They should not be considered as advice to purchase or to sell mentioned securities. Data offered is believed to be accurate, but is not guaranteed.
The Markets
A jump in the cost of borrowing, despite a weak report on retail sales, promoted mixed results in the equity market on Friday. The S&P 500 Index ticked lower by just less than two-tenths of one percent, continuing to hold above the consolidation span that the benchmark had been within since the start of June between 7250 and 7620; previous resistance at this upper threshold now turns into support. A short-term bull-flag pattern continues to be charted, suggesting further upside in the near-term to be expected. Implied resistance around 20 and 50-day moving averages (~7512) was broken two weeks ago, placing the ball in the bulls court heading into the start of the new month. Daily momentum indicators remain on an upswing, moving above the declining path that had been charted since the end of May. The technicals are providing all of the characteristics to be bullish of stocks. In the Seasonal Advantage Portfolio that we manage for clients at CastleMoore, we never made any changes in our allocations during the abnormal July weakness. Following a first half performance in the Seasonal Advantage Portfolio that was well ahead of our own benchmark (as well as all major equity benchmarks in the market), we have had a view to expect strength for the start of the second half of the year, aligning with the optimism that the manufacturing economy is expressing. Our stance is now paying off. Earnings season has provided the cover to the headline threats in the market and, ultimately, the positive intermediate-term trajectory of the market persists. Subscribers can view what we are targeting in our list of market segments to either Accumulate or Avoid.
Today, in our Market Outlook to subscribers, we discuss the following:
- Weekly look at the large-cap benchmark
- Watching out for the danger zone in stocks at this period of normally rising volatility
- US Retail Sales and the investment implications within
- US Retail Inventories and the supply/demand mismatch
Subscribers can look for this report in their inbox or by clicking on the following link and logging in: Market Outlook for August 17
Not signed up yet? Subscribe now to receive full access to all of the research and analysis that we publish
Sentiment on Friday, as gauged by the put-call ratio, ended bullish at 0.82.
Seasonal charts of companies reporting earnings today:
S&P 500 Index
TSE Composite
| Sponsored By... |
|
