Tech Talk for Thursday February 1st 2018

U.S. equity index futures were lower this morning. S&P 500 futures were down 4 points in pre-opening trade.

Index futures were virtually unchanged following release of the Weekly Jobless Claims report. Consensus was an increase to 235,000 from 231,000 last week. Actual was 230,000.

Fourth quarter reports continue to pour in. Companies that reported since yesterday's close included Alibaba, Altria, AT&T, Boston Scientific, Citrix Systems, ConocoPhillips, DowDupont, Eaton, EBay, Facebook, Hershey, Marsh & McLennan, MasterCard, McKesson, Microsoft, Mondelez, Parker Hannifin, PayPal, Qualcomm, Ralph Lauren, Symantec, Time Warner and UPS.

EBay gained $4.23 to $44.81 after several investment dealers raised the target price on the stock. The company announced higher than consensus fourth quarter results. In addition, RBC upgraded the stock to Outperform from Sector Perform.

Microsoft (MSFT $94.25) is expected to open higher several investment dealers increased the target price on the stock. The company announced higher than consensus quarterly results.

EquityClock's Daily Market Comment

http://www.equityclock.com/2018/01/31/stock-market-outlook-for-february-1-2018/

Note seasonality charts on the Energy sector, Materials sector, Canadian GDP, Canadian Dollar, Crude Oil Days of Supply, Gasoline Days of Supply and WTI Crude Oil.

Observations

Response by the end of the trading day to the FOMC decision at 2:00 PM to maintain the Fed Fund rate was muted in equity markets. Gold and Treasury Bond prices moved slightly higher.

StockTwits Released Yesterday @EquityClock

Technical action by S&P 500 stocks to 10:00: Bearish. No breakouts. Breakdowns: $IVZ $UNM $JNPR $SEE.

Editor's Note: After 10:00 AM EST, breakouts included CCI and SBAC. Breakdowns included AYI, GLW, PDCO, JNJ, AMP, COG and MCD.

Celestica $CLS.CA moved below $12.62 extending an intermediate downtrend.

Fairfax Financial $FFH.CA moved below $640.00 extending an intermediate downtrend.

Power Financial $PWF.CA moved below $34.00 extending an intermediate downtrend.

Canadian Natural Resources $CNQ.CA, a TSX 60 stock moved below$42.12 completing a double top pattern.

Editor's Note: BC government attempt to slow down/block the TransMountain Pipeline expansion impacted all of the oil sand producers.

Canada GDP up 0.5% (NSA) in November, firmly better than the 0.3% average decline for month. #CDNecon #CAD $MACRO

S&P 500 Index has averaged a gain of 0.2% in February; positive in 56% of periods. http://www.equityclock.com/2018/01/31/stock-market-outlook-for-february-1-2018/ $SPX $SPY $ES_F $STUDY

Days of supply of #Oil shows largest one week increase since the start of September as inventory injection season gets underway. $USO $CL_F

Trader's Corner

Daily Seasonal/Technical Equity Trends for January 31st 2018

Green: Increase from previous day

Red: Decrease from previous day

Daily Seasonal/Technical Commodities Trends for January 31st 2018

Green: Increase from previous day

Red: Decrease from previous day

* Excludes adjustment from rollover of futures contracts

Daily Seasonal/Technical Sector Trends for January 31st 2018

Green: Increase from previous day

Red: Decrease from previous day

S&P Momentum Barometer

The Barometer dropped another 1.20 to 75.20 yesterday. It remains intermediate overbought and trending down.

TSX Momentum Barometer

The Barometer dropped another 1.65 to 38.27 yesterday. It remains intermediate neutral and trending down.

Disclaimer: Seasonality and technical ratings offered in this report and at

www.equityclock.com are for information only. They should not be considered as advice to purchase or to sell mentioned securities. Data offered in this report is believed to be accurate, but is not guaranteed

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