Tech Talk for Friday January 26th 2018

U.S. equity index futures were higher this morning. S&P 500 futures were up 9 points in pre-opening trade.

U.S. equity indices were virtually unchanged following release of U.S. economic news at 8:30 AM EST. Consensus for fourth quarter real GDP was annual growth at 2.9%. Actual was 2.6%. Consensus for December Durable Goods Orders was an increase of 0.8% versus a gain of 1.3% in November. Actual was an increase of 2.9%. Excluding transportation, consensus for December Durable Goods Orders was an increase of 0.6% versus a decline of 0.1% in November. Actual was an increase of 0.6%.

The Canadian Dollar was virtually unchanged following release of December Consumer Price Index at 8:30 AM EST. Consensus on a year-over-year basis was an increase of 1.9%, Actual was an increase of 1.9%.

Fourth quarter reports continue to pour in. Reports released since yesterday's close included Colgate Palmolive, Honeywell, Intel, Rockwell Collins, Starbucks, AbbVie and Western Digital.

Starbucks dropped $2.95 to $57.60 after reporting lower than consensus quarterly results.

Intel gained $$2.72 to $48.02 after reporting higher than consensus quarterly revenues and earnings. Target on the stock was raised by MKM Partners, SunTrust, RBC Capital and Stifel Nicolaus.

MMM added $0.24 to $252.60 after RBC Capital raised its target price to $254 from $240.

United Technologies (UTX $137.75) is expected to open higher after Stifel Nicolaus raised its target price to $146 from $127.

EquityClock's Daily Market Comment

Following is a link:

http://www.equityclock.com/2018/01/25/stock-market-outlook-for-january-26-2018/

Note seasonality charts on Dow Jones Transportation Average, New Home Sales, Canadian Retail Trade and Initial Jobless Claims

Observation

Gold moved above 1,362.40 per ounce to an 18 month high. 'Tis the season for strength until the end of February!

Wolf on Bay Street Radio Show

Don Vialoux is scheduled to be a guest on "Wolf on Bay Street" tomorrow (Saturday) between 7:00 AM and 8:00 AM EST on Toronto Radio 640. Host is Wolfgang Klein.

StockTwits Released Yesterday @EquityClock

Technical action by S&P 500 stocks to 10:00: Mixed. Breakouts: $COST $GIS $MKC $VAR. Breakdowns: $F $NWL $ALK $AVGO

Editor's Note: After 10:00 AM EST, breakouts include OI, RHI and KMB. Breakdown: PM

Celestica $CLS.CA moved below $13.06 and $13.04 setting intermediate downtrend.

Valeant Pharm $VRX.CA, a TSX 60 stock moved below $24.25 completing a double top pattern.

Platinum ETN $ PPLT moved above $97.18 extending an intermediate uptrend. 'Tis the season for strength to April!

TransCanada PipeLines $TRP.CA, a TSX 60 stock moved below $58.63 extending an intermediate downtrend.

Wheat ETN $WEAT has joined $CORN by completing a double bottom pattern. $JJG

TSX Composite Index moved below 16,229.26 completing a double top pattern.

#Retail trade in Canada ramped up ahead of the holidays, rising 3.6% (NSA) in November, 3.4% above average for month. #CDNecon #CAD $MACRO

New Home Sales in the US down sharply in December, but still showing above average gain for the year, up 10.3%. #Housing #Economy $MACRO

Trader's Corner

Daily Seasonal/Technical Equity Trends for January 25th 2018

Green: Increase from previous day

Red: Decrease from previous day

Daily Seasonal/Technical Commodities Trends for January 25th 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 25th 2018

Green: Increase from previous day

Red: Decrease from previous day

S&P 500 Momentum Barometer

The Barometer slipped 0.40 to 83.00 yesterday. It remains intermediate overbought.

TSX Momentum Barometer

The Barometer plunged 8.26 to 54.96 yesterday. It remains intermediate overbought and showing signs of rolling over.

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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