Upcoming US Events for Today:
- Leading Indicators for September will be released at 10:00am.Ā Ā The market expects a month-over-month increase of 0.7%, consistent with the previous report.
- Weekly Crude Inventories will be released at 10:30am.
Upcoming International Events for Today:
- German PMI Services for October will be released at 3:55am EST.Ā Ā The market expects 52.3 versus 53.7 previous.
- Euro-Zone PMI Services for October will be released at 4:00am EST.Ā Ā The market expects 50.9 versus 52.2 previous.
- Great Britain Industrial Production for September will be released at 4:30am EST.Ā Ā The market expects a year-over-year increase of 1.8% versus a decline of 1.5% previous.
- Euro-Zone Retail Sales for September will be released at 5:00am EST.Ā Ā The market expects a year-over-year increase of 0.5% versus a decline of 0.3% previous.
- German Manufacturersā Orders for September will be released at 6:00am EST.Ā Ā The market expects a year-over-year increase of 5.7% versus an increase of 3.1% previous.
- Canadian Ivey PMI for October will be released at 10:00am EST.
- Great Britain NISER GDP estimate for October will be released at 10:00am EST.Ā Ā The market expects an increase of 0.5% versus an increase of 0.8% previous.
The Markets
Stocks posted marginal declines on Tuesday as the European Commission indicated that economic growth in the European Union will be sluggish and unemployment high into next year.Ā Ā The announcement put pressure on the Euro currency while lifting the US Dollar index, which in turn pressured stocks lower.Ā Ā The US Dollar Index recently bounced from a significant level of support around 79 and has now surpassed a minor level of resistance around 80.75, hinting of a change in the intermediate trend from negative to positive.Ā Ā Continued strength in the US Dollar could negatively pressure stocks, which are typically inversely correlated to the currency.Ā Ā Ā Meanwhile, the Euro is testing a key intermediate rising trendline, a breakdown through which would imply a change of trend, likely to coincide with equity market weakness.Ā Ā The US Dollar index seasonally gains between October and November before resuming a downtrend into the month of December.
And while the Euro currency faltered, so too did European equity indices, which are showing signs of underperformance versus American equivalents.Ā Ā Levels of support around the 20-day moving average are coming into play.Ā Ā European indices remain in a period of seasonal strength through to next Spring, implying that short-term weakness may present ideal buying opportunities.
And finally for today, Mark Leibovit of VRTrader.com sent over a video last night explaining why he is negative on the US market at the present time.Ā Ā Mark uses a proprietary strategy of identifying volume reversals in order to trigger buy and sell signals for the market and individual equity positions.
Seasonal charts of companies reporting earnings today:
Sentiment on Tuesday, as gauged by the put-call ratio, ended bullish at 0.78.
S&P 500 Index
TSE Composite
Horizons Seasonal Rotation ETF (TSX:HAC)
- Closing Market Value: $13.63 (unchanged)
- Closing NAV/Unit: $13.62 (down 0.04%)
Performance*
2013 Year-to-Date | Since Inception (Nov 19, 2009) | |
HAC.TO | 7.08% | 36.2% |
* performance calculated on Closing NAV/Unit as provided by custodian
Click Here to learn more about the proprietary, seasonal rotation investment strategy developed by research analysts Don Vialoux, Brooke Thackray, and Jon Vialoux.