The Canadian Technician

Interesting Charts For Interesting Times

by Greg Schnell

With the market recently surging, it is difficult to be bearish when the US Market makes higher highs. The $TSX made its highs on March 17th while oil made its high on March 18th, first thing in the morning. We've traded between 13650 and 13250 since. At the time of writing, we are at 13500. Currently, the themes of the market have all relaxed. The precious metals trade made highs in early March and we have not been able to make progress since. Oil is near 2-week lows but a lot of traders are looking for potential support at $35. The Canadian banks were making new highs last Read More 

The Canadian Technician

Fundamental Investors Are So Bullish, Is This Another Pivot Point For Technicians?

by Greg Schnell

During The Canadian Technician 20160322 Webinar, I covered off some of the signals that were leaning to a new bull market. While I am still in bear camp mode, I did discuss some powerful charts that suggest a transition to a new bull market is very close. The symptom of a bear market rally is that it seems to suck you in as you believe the worst is over.  Just when you start to feel the trouble is over, it reverses into a downward slide. Then at the extreme lows, the pain is so real, you don't want to jump back in. Let's look back at some of the moves Read More 

The Canadian Technician

Canadian Banks At New All Time Highs - Whaaat?

by Greg Schnell

In the world of banking, the Canadian banks have been very resilient to market forces. Running through my scans today, I found the TD Bank breaking out to a new all-time high. While I am not that bullish on banks because of the impending debt restructuring in the oil patch, the steel industry, the miners, and the oil services industry to name a few, I am obviously surprised to see a primary bank in Canada breaking out to new highs. It is hard to argue with the price action. This looks bullish! Rolling through the Canadian Banks might be a good strategy when one Read More 

The Canadian Technician

Canadian Markets Struggle Where They Should Struggle

by Greg Schnell

On Tuesday, during the Canadian Technician Webinar 20160308, I reviewed the various Canadian Sectors.  I demonstrated the various markets using the RSI indicator on weekly charts. This generated some great questions. While the RSI is used by some on a shorter time frame, I like using the RSI on the weekly time frame. For the $TSX, here is the chart. Notice the RSI is trapped under 60. The red arrows indicate a weak RSI below 40, which indicates a bear market signal. We are currently testing horizontal support/resistance marked by the red line as well as the 40 WMA. A down-trending Read More 

The Canadian Technician

Canadian Oil Stocks Reach Resistance

by Greg Schnell

This is the moment we've all been waiting for. Stocks finally pushing back up against their 200 DMA average. Some are even breaking above. More importantly for Canadians, the Canadian oil companies are pushing up against previous-high-resistance levels. The next few weeks will decide if this recent rally has finally marked the lows in the energy stocks and put the downtrends behind us. An example would be CNRL. (CNQ.TO). This is really a major decision point for the investor. The Relative Strength in Purple has broken out to new 8-month highs. The SCTR has finally pushed well above Read More 

The Canadian Technician

The $TSX Has A Huge Volume Candle For The Shortest Month

by Greg Schnell

Whether it was Oil, Gold, or base metals that caught the eye of traders, it created some activity. The trading on the $TSX was big last month. I have put a volume chart at the bottom of the chart below, with a horizontal line at the volume for the end of February. The only other up close month with volume this high was the 2009 March lows. All of the other high volume months had a lower close than the previous month, making them a red volume candle when the volume was this high. Almost all of the indicators here are at important monthly low levels. If there was a time for the Read More