Stock Market Outlook for November 6, 2026
A lot of the things that we have been looking for in order to ramp up risk exposure in portfolios are starting to click in.
*** 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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Cogeco, Inc. (TSE:CGO.TO) Seasonal Chart
Invesco Dynamic Networking ETF (AMEX:KNCT) Seasonal Chart
iShares Mortgage Real Estate Capped ETF (NYSE:REM) Seasonal Chart
Becton Dickinson and Co. (NYSE:BDX) Seasonal Chart
Cognizant Technology Solutions Corp. (NASD:CTSH) 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
Traders fled stocks on Thursday amidst panic in the Technology sector as AI buildout concerns grow with the election of the Democrats to the US congress. The S&P 500 Index dropped by 4.36%, showing sharp rejection from declining trendline resistance from the past month around 7700 and breaking back below the trading range between 7620 and 7800. The 7400 target that we had been suggesting based on the appearance of a head-and-shoulders pattern was hit and exceeded as the benchmark moves back to the summer lows. The index is quickly slicing through levels of variable support presented by major moving averages and the 200-day moving average is now up to bat (although we would prefer to reference the 50-week moving average – 7241). As noted in our recent chart books, there are segments following recent price action that we haven’t wanted to be exposed to, including Semiconductor and various technology industries, but the market has provided rotation opportunities that allowed us to maintain our overall equity exposure. Members can stay on top of our thinking and what we are watching in our regular reports, as well as 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:
- Technology sector
- Cheap Technology Valuations
- Running down our cues for the signal to take on greater risk in portfolios
- Lack of buyers
- Weekly Jobless Claims, the health of the labor market, and a look ahead at what to expect from October’s Nonfarm Payroll report
- Natural Gas
- US Vehicle Sales and how to trade the auto stocks (Tesla)
- Investor sentiment
Subscribers can look for this report in their inbox or by clicking on the following link and logging in: Market Outlook for November 6
Sentiment on Thursday, as gauged by the put-call ratio, ended bearish at 1.06.
Seasonal charts of companies reporting earnings today:
S&P 500 Index
TSE Composite
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