Tech Talk for Wednesday May 11th 2022

U.S. equity index futures were lower this morning. S&P 500 futures were down 3 points in pre-opening trade.

Index futures moved lower following release of the U.S. April Consumer Price Index at 8:30 AM EDT. Consensus was an increase of 0.2% versus a gain of 1.2% in March. Actual was an increase of 0.3%. On a year-over-year basis consensus was an increase of 8.1% versus a gain of 8.5% in March. Actual was an increase of 8.3%. Excluding food and energy, consensus for the April Consumer Price Index was an increase of 0.4% versus a gain of 1.0% in March. Actual was an increase of 0.6%. On a year-over-year basis, consensus was an increase of 6.0% versus an increase of 6.5% in March. Actual was an increase of 6.2%.

Occidental Petroleum added $1.56 to $59.41 after reporting higher than consensus first quarter results.

Wendy's dropped $0.80 to $17.30 after reporting lower than consensus first quarter sales and earnings. The company also offered guidance below consensus.

Eli Lilly gained $4.88 to $290.58 after the FDA approved its drug used for hospitalized COVID patients.

EquityClock's Daily Comment

Headline reads "Inventories of goods are rising at the fastest pace on record and it is poised to cap inflationary pressures through the summer".

Following is the link:

http://www.equityclock.com/2022/05/10/stock-market-outlook-for-may-11-2022/ 

Technical Notes from yesterday

Money Center U.S. Banks iShares $KBE moved below $46.01 extending an intermediate downtrend.

Capital One $COF an S&P 100 stock moved below $119.88 extending an intermediate downtrend.

Healthcare Providers iShares $IHF moved below intermediate support at $255.46.

Oil & Gas Exploration and Production SPDRs $XOP moved below $123.99 completing a double top pattern.

First Trust Natural Gas ETF $FCG moved below $22.78 completing a double top pattern.

Canadian Natural Resources $CNQ.TO a TSX 60 stock moved below Cdn$76.16 and Cdn$74.85 completing a Head & Shoulders pattern.

CSX $CSX a NASDAQ 100 stock moved below $32.62 completing a double top pattern.

Dow $DOW an S&P 100 stock moved below $65.53 completing a double top pattern.

TSX Composite Index moved below 19,912.59 setting an intermediate downtrend.

Trader's Corner

Equity Indices and Related ETFs

Daily Seasonal/Technical Equity Trends for May 10th 2022

Green: Increase from previous day

Red: Decrease from previous day

Commodities

Daily Seasonal/Technical Commodities Trends for May 10th 2022

Green: Increase from previous day

Red: Decrease from previous day

Sectors

Daily Seasonal/Technical Sector Trends for May 10th 2021

Green: Increase from previous day

Red: Decrease from previous day

All seasonality ratings are based on performance relative to the S&P 500 Index (except TSX)

Links offered by Valued Providers

Tom Bowley says "Bottom rapidly approaching".

https://www.youtube.com/watch?v=rAnMjtvJFh0

S&P 500 Momentum Barometers

The intermediate term Barometer slipped 2.40 to 18.44 yesterday. It remains Oversold. Trend remains down. Signs of a bottom have yet to appear.

The long term Barometer slipped 1.00 to 30.46 yesterday. It remains Oversold. Trend remains down. Signs of a bottom have yet to appear.

TSX Momentum Barometers

The intermediate term Barometer slipped 1.04 to 14.80 yesterday. It remains Oversold. Trend remains down. Signs of a bottom have yet to appear.

The long term Barometer dropped another 1.65 to 32.74 yesterday. It remains Oversold. Trend remains down. Signs of a bottom have yet to appear.

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.