Stock Market Outlook for February 12, 2025
The breakout from the declining trend for interest rates is being put to the test.
*** 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.
FMC Corp. (NYSE:FMC) Seasonal Chart
Insperity, Inc. (NYSE:NSP) Seasonal Chart
Healthcare Leaders Income ETF (TSE:HHL.TO) Seasonal Chart
iShares MSCI Eurozone ETF (NYSE:EZU) Seasonal Chart
BMO Low Volatility International Equity ETF (TSE:ZLI.TO) Seasonal Chart
The Markets
Stocks closed slightly mixed on Tuesday as traders struck a cautionary tone amidst the escalation of the tariff war following signing of executive orders pertaining to steel and aluminum on Monday; reciprocal tariffs on goods from other countries are also expected to be signed off on imminently. The S&P 500 Index closed essentially unchanged, continuing to gyrate above support at the 20-day moving average (~6032). The benchmark remains below a short-term cap at 6100 as broader momentum dwindles. Momentum indicators have negatively diverged from price since the middle of last year, highlighting the waning enthusiasm investors had been expressing towards tech-heavy benchmarks, like this, amidst extreme valuations. We continue to monitor the potential impact of the apparent rotation in the market on our list of candidates in the market to Accumulate and to Avoid and we have adopted more of a neutral stance as segments that were previously noted as Accumulate candidates fall off (eg. Technology) and as areas to Avoid are added.
Today, in our Market Outlook to subscribers, we discuss the following:
- Consumer discretionary sector carving out a topping pattern
- The breakout from the declining trend of interest rates is being put to the test
- Canada Labour Force Survey and the investment implications within
- Canadian Dollar
Subscribers can look for this report in their inbox or by clicking on the following link and logging in: Market Outlook for February 12
Not signed up yet? Subscribe now to receive full access to all of the research and analysis that we publish.
Sentiment on Tuesday, 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... |
|
