The Canadian Technician

$NATGAS - A Bull Market Canadian Industry Complete with Stock Names

by Greg Schnell

$NATGAS looks like one of the strongest trades of the year. This accumulation of stock names should be interesting to watch for the year 2014.This blog will provide a list of Natural Gas stocks in the Canadian market. I want to thank Landman Tim Campbell and others for helping me find the companies most influenced by natural gas. The closest we are going to get on fundamental analysis is that they are natural gas stocks. No area plays, no reservoir analysis. Just Natural Gas Industry producers. I recognize there are also LNG players, Shippers, Clean energy companies, Engine modifiers all Read More 

The Canadian Technician

The $TSX Runs Into Resistance At 14329 Again...

by Greg Schnell

The $TSX is a great example of demonstrating both short term and long term resistance. First here is the long chart. When the $SPX made highs in July 2007, the $TSX made a spike above this blue line. When the $SPX made a higher high in October 2007, the $TSX intra week made a higher high, but did not according to this weekly line chart. It closed the week at a lower level. Then oil went on the surge to infinity and topped out the $TSX on June 5, 2008. The $TSX built a nice 2 month head/shoulders topping pattern in 2008. The $TSX made a double top in 2007, 3 months apart. 14625 in July Read More 

The Canadian Technician

Some Canadian Energy Names Are Looking Interesting

by Greg Schnell

As $NATGAS went through a price spike recently, we have seen some big moves into the $NATGAS stocks. Encana and Perpetual are two Natgas names that are really starting to soar. It looks like the year for $NATGAS. Nice when the sector start to make multi year breakouts.  Encana went to 2 year highs this week. The RSI at 70 has not happened for the last 5 years. The SCTR has moved above 75 which I find particularly attractive. It is even more attractive when the Weekly Full Stochastics (note the settting) is Read More 

The Canadian Technician

My Global View Of The Current March Market 2014 - Part 4

by Greg Schnell

The previous 3 articles dealt with the equity and bond markets. This one has just a few charts on $COPPER, $GOLD , $WTIC and $LUMBER. Without discussing why $COPPER is an extremely important economic indicator here, it just is. The major news of the last 2 weeks has been $COPPER's plunge. Interestingly, it was two weeks ago the the Chinese Central Bank loosened the trading range on the Yuan, the Chinese currency. It was also marked by a couple of financial events in China. It is fair to say that this chart looks like the Chinese  Shanghai ($SSEC) stock market chart. We can see the Read More 

The Canadian Technician

My Global View Of The Current March Market 2014 - Part 3

by Greg Schnell

Ok, A quick review of what we have seen. Many of the global markets are building typical topping structures. The US market is still bullish, but recent price action suggests that the market is also showing signs of indecision. At this point, I would like to make a quick run through of how tops form. Then we'll compare it to the current market situation. Sorry for the flipping, but it allows me to directly compare the data. Lets start with the 2000 top. You will notice the $SPX kept revisiting the 1400 level back in 1999 and 2000. The July high became an interesting reference point. It Read More 

The Canadian Technician

My Global View Of The Current March Market 2014 - Part 2

by Greg Schnell

If you did not read Part 1, some of these explanations may not be clear enough. Continuing into Europe, let's go through the charts. France is an interesting market. It still has the camel humps, but it has a flat base line. This is an expanding wedge or a megaphone pattern. It is considered a pattern of indecision. You can see the neckline (bottom trend line) has 4 touches which makes it a very important support line.  The rising tops is a bullish trend. We could also draw this as a horizontal line on top Read More 

The Canadian Technician

My Global View Of The Current Market March 2014 Part 1

by Greg Schnell

I recently presented this group of charts at the Atlanta SCU 101 and SCU 102 classes. After multiple requests to provide this as a PDF document, I thought I would post it as an article for you to read at your leisure. First of all, the next two charts have some long term views.  To help you match them up time wise, they are two long charts. I apologize in advance for making the flip flip flip on the iPad on. The rest of the charts are much better. Still some time matching (long charts) in a few other charts. The first two are monthly charts going back 15 years.  The RSI shown Read More 

The Canadian Technician

The $TSX Is Stuck In The Snow At 2011 Highs

by Greg Schnell

With all the snow we have had this year, I think Canadians coast to coast to coast will be welcoming the spring equinox on March 20, 2014. It looks like the $TSX needs something to help it over the previous resistance. Here is a 4 year view of the situation.  Notice it was a similar time of year when we made the 2011 high. So the bottom line is on a weekly view, we are testing it. Let's zoom in to the last 3 weeks. Up to this point we have had intra day highs bang their heads Read More 

The Canadian Technician

Encana Lights A Fire Finally

by Greg Schnell

The historic charts for Randy Eresman couldn't be more vicious. As president of one of Canada's greatest companies, he decided to split the company in two to release shareholder value in the fall of 2009.   While Encana continued to slide after the split on low Natural Gas prices, Cenovus made it's 2012 high as Encana made it's low in the Spring of 2012. Cenovus has making lower highs for 2 years. Encana was making lower 52 week highs every year as well. It has been a tale of top left Read More 

The Canadian Technician

The Mail Delivers A Great Cycle Chart!

by Greg Schnell

One of the best parts of writing a blog is getting feedback from the readers. This morning, a friend in Pennsylvania sent in a cycle length I had not looked at. Richard Rhodes of Rhodes Capital Management sent in a cycle length that fits remarkably well marking the major highs in the last 35 years. What is nice about this approach is the long term view. The surprising thing for me on the PPO (percentage price oscillator) is from very high readings, the market unwound quickly. In 1994 it was just a 1 year pause, but there is no safety in expecting the momentum to wane at Read More 

The Canadian Technician

$SPX Time Cycle Connecting All Four Turns

by Greg Schnell

The work of cycles is fabulously interesting. It just seems hard to bet on any particular turn. George Lindsay used time spans to find places on the chart where a chart was likely to turn. He was looking for the inflection points in the market. His work has been brought back to life by Ed Carlson of Seattle Technical Advisors. What has made the recent market cycles (last 15 years) so interesting, has been the difference in time spans. From the 2000 high to the 2002 low was a period of two 66 weeks time spans. From the 2007 top to the 2009 lows was 1 time span of roughly 66 weeks. Why 66 Read More 

The Canadian Technician

$COPPER Tests Lower Trend Line And Horizontal Support

by Greg Schnell

The JJC is a Tracking ETN for Copper. IF (a Big IF there) $COPPER closes below this trend line, this would be significant. We like Dr. $COPPER as an economic indicator.  We have seen the trend weaken recently. The dotted blue line was also a potential support line with two dips through it( late July, Early February). With this third push, it would appear the solid blue line is more meaningful now. Horizontal Support is at $38.50 on the chart which is where we are trading today. I don't like the negative cross on the MACD below zero. Good trading Read More