The Canadian Technician

Blackberry (BB.TO, BBRY) Traders Reach The Fulcrum Decision Point

by Greg Schnell

For one of Canada's most storied stocks, Blackberry (BB.TO, BBRY) continues to write new story lines. We can see three major setups in Blackberry.  The pattern as Blackberry failed at the top is shown, but the SCTR ranking was dismal in 2010. The same consolidation is occurring now, but this time, Blackberry is one of the top 25% in performance based on the Toronto SCTR ranking. This is an important distinction because the Oil and Gas as well as materials are very low ranking. This means that BB.TO is doing well compared to the rest of the Canadian stocks, but in this case, the Read More 

The Canadian Technician

Canadian Financials Muddle Along

by Greg Schnell

The Canadian Financial Sector ($SPTFS)  continues to hover in the middle of the trading range for the last year. It is currently trading where it was last July. In the Month of May, the financial stocks have started to underperform the $SPX which I use as a reference point because the S&P 500 has so many industry groups to stabilize it. The $TSX is 1/3 banking, so as the Canadian banks go, the $TSX follows closely. The other 2/3 are energy and materials, which are both in terrible shape. So showing banking outperforming those two groups would not help us. Using the $SPX as Read More 

The Canadian Technician

Encana (ECA.TO, ECA) Misses The Memo

by Greg Schnell

Encana, (ECA.TO, ECA on NYSE) widely considered one of Canada's powerhouse companies, just can't seem to get the mojo going. When Encana separated out the Oil related exploration and production into a distinct company called Cenovus, it was a difficult process to watch. The mother company, Encana, was solely focused on Natural Gas revenues and struggled as Natural Gas made fresh lows. Photo - Copyright © Encana Corporation. All rights reserved. As we watched the Natural Gas company suffer through years of poor price performance Read More 

The Canadian Technician

Trican (TCW.TO) Workover Gets Fracked

by Greg Schnell

Trican Well Service (TCW.TO) announced earnings today. The company described a stunning change in business which could threaten the debt covenants as soon as this fall so the management stopped the dividend this morning that was introduced in 2006. The picture below from the Trican website identifies the businesses that they are involved in. They also have excellent videos on their website explaining the processes in the energy business generally.  The oilfield service industry group is really in a bind.  Read More 

The Canadian Technician

Canadian Health Care Sector Needs To Be Watched Closely Here

by Greg Schnell

I am a big believer in the relative strength line. This week the SPURS as I like to call it, is sitting at an important junction and so is the price. We can see the SPURS shown in purple has broken through support and is backtesting the trend line. The price is testing the 8 month trend line off the October lows. The big volume is concerning. Could this be a final exhaustion move? In the last 30 trading days the pop in volume has been significant. With all that volume you would not expect to underperform. Valeant Pharma (VRX.TO) continues to be one of Read More