SYS Research – Weekend Report – March 29, 2024

Notice: The weekend report is provided for informational purposes only and is not intended as a stock-picking service. The charts and information provided are intended to aid research and analysis and should only be used as indicators. They should not be considered as a direct trigger to buy or sell any security. The creator assumes no responsibility for any actions readers take and strongly advises each individual to fully understand the risks and potential consequences before making any investment decisions. Please note that the charts shared are not intended as signals to buy or sell but as a tool to add to your watchlist and analyze according to your trading ability. Remember that not all charts will result in buy or sell actions at any time.

This is just a friendly reminder that it’s essential to monitor the Daily Setups and Workspace scan results, which can provide insights into potential future additions and help you stay ahead of the game.

If you’re having trouble understanding the Daily Setups or need help crafting a trading strategy, don’t hesitate to ask for assistance. You can email us at info@setyourstop.com or reach me through the Workspace. Let’s schedule a meeting to address your specific requirements and provide you with the guidance you need.

Sample Trading System

The following trading system is presented as an educational example and should not be interpreted as financial advice. Past performance does not guarantee future results, and trading involves inherent risks. Please consult with a qualified financial advisor before implementing any trading strategies.

SYS Daily Report – Weekend Edition

S&P 500 Achieves New High as First Quarter Concludes with Historic Momentum

The S&P 500 has soared to unprecedented heights, marking a stellar finish to the first quarter. Surging past previous records, the benchmark index has left lagging money managers scrambling to keep pace, achieving its 22nd all-time high this year. This remarkable performance amidst market chatter underscores the efficacy of systematic trend-following strategies, as evidenced by the indexes’ consistent ascent above their 21-day exponential moving average. Picture being sidelined in cash, swayed by fear-inducing pundits on television, while the index notches yet another all-time high! The market’s robust start to 2024 suggests that the year ahead may conclude not with a whisper but with a resounding crescendo.

Investor sentiment was buoyant as 2024 commenced, riding high on the heels of substantial gains in stocks last year, mainly led by megacap tech shares. Yet, few anticipated the magnitude of the ensuing rally. A resilient economy, coupled with fervent anticipation surrounding artificial intelligence technology and expectations of interest rate cuts this year, have all contributed to the favorable outlook for the stock market. This underscores the superiority of systematic, backtested rules over mere predictions. As disciples of the Chartered Market Technician (CMT) ethos, we are taught to react to market realities rather than futilely attempt to predict them. The most adept market participants acknowledge their inability to foresee the future but excel at responding to unfolding events.

The stock market rally appears to be broadening and rotating in a robust manner. Market breadth was notably strong throughout the week, with the red-light/green-light breadth system consistently advancing. While tech names have garnered much attention, the scanner results persist in uncovering actionable or promising setups across diverse sectors, including housing, travel, finance, medical, energy, and materials. Notably, we featured more ETFs in the daily setups this week. Nine out of eleven S&P sectors finished the week in the green when looking at what worked last week.

The Red-Light/Green-Light Breadth System

What Worked Last Week

The S&P 500 has surged by an impressive 10.2% in the first three months of 2024. This marks only the fourth instance since the turn of the millennium that it has posted gains of 8% or more in the first quarter, joining the ranks of 2012, 2013, and 2019, when it recorded increases of 12%, 10%, and 13.1%, respectively.

S&P 500 – Quarterly Chart

The Dow Jones Industrial Average climbed by 0.8% for the week, achieving a record close on Thursday. Meanwhile, the S&P 500 index notched a 0.4% gain, reaching an intraday all-time high on Thursday. Although the Nasdaq composite experienced a slight dip of 0.3%, it remained near its peaks. Overall, the Dow gained 5.6% for the quarter, the S&P 500 surged by 10.2%, and the Nasdaq leaped by 9.1%. The small-cap Russell 2000 jumped 2.5%, hitting a two-year high.

Dow Jones Industrial Average – Weekly Chart

S&P 500 – Weekly Chart

Nasdaq – Weekly Chart

Russell 2000 (ETF) – Weekly Chart

The 10-year U.S. Treasury yield, a pivotal metric influencing mortgages and borrowing costs, has declined to 4.206%, slipping below its 200-day or 40-week moving average. This movement coincides with price action, which continues to face resistance. The Fed chair’s remarks indicating a heightened probability of future rate cuts may have influenced this movement.

10-Year US Treasury Yield

The U.S. dollar remains robust as other countries contemplate interest rate cuts (or have already started to cut), potentially preempting Fed Chair Powell’s actions. Price action in the dollar indicates an attempt to break out from the observed pattern, necessitating continuous monitoring to assess potential disruptions to commodity momentum.

Crucially, it’s essential to consider an alternative scenario: even if the U.S. dollar’s price action breaks out, global governments persist in debasing their currencies through extensive money printing. Thus, while the U.S. dollar may appear strong relative to other currencies, its strength remains contingent. Bitcoin’s resilience and gold’s resurgence to new all-time highs underscores this, setting the stage for a potential scenario where the greenback and commodities move higher in tandem.

US Dollar – Weekly Chart

Oil and oil stocks have surged, but there may still be opportunities to capitalize on this trend. According to our system rules, oil prices continue to break out from our charted pattern, steadily rising above moving averages. In today’s daily setups, the XLE ETF is highlighted as it continues to break out from a significant basing pattern, a breakout we identified in February at around $85.

West Texas Intermediate crude oil, the U.S. market benchmark, has soared 17% to $83 a barrel in 2024, driving the Energy Select Sector SPDR exchange-traded fund (the XLE ETF) up 13% for the year. This surge is fueled by robust demand for goods and services, with market expectations suggesting continued growth in consumer spending and, consequently, higher oil demand.

Moreover, petroleum supply has generally fallen short of expectations, with fewer additions to U.S. crude stockpiles than anticipated in most weeks this year. U.S. stockpiles stand at just over 440 million barrels, relatively unchanged for the year and down from just over 470 million barrels a year ago.

Crude Oil – Weekly Chart

On Thursday, the TSX index capped off another robust quarter by reaching a new all-time high, primarily fueled by gains in resource shares. The index closed up 183 points, or 0.8% for the week, at 22,167.03, setting a record closing high. Additionally, it reached an intraday record peak of 22,220.91, surpassing the previous milestone set in April 2022.

TSX – Weekly Chart

The price of copper closed the week slightly in the red, but one would hardly have guessed by observing the price action in copper miners. The COPX ETF is once again highlighted in the daily setups following robust price movements in the sector. This development comes after we initially flagged the first breakout in the ETF when it began pushing above approximately $36.50 at the beginning of March. At that time, we also shared a copper watchlist in the daily setups. Closely watch all copper miners as they demonstrate robust price action.

Copper – Weekly Chart

Gold prices closed at a record high on Thursday, with our scanner results and daily setups consistently highlighting gold mining stocks throughout the week. This surge marks the best two-quarter performance for the precious metal in eight years. The continuous contract rose by nearly 4% on the week, reaching $2,238 an ounce—an all-time high for the yellow metal, which has already gained over 8% this year. Notably, the GDX and GDXJ ETFs are again featured in our daily setups as their price action signals a breakout above the upper trendline of the pattern we’ve been monitoring.

Gold – Weekly Chart

Silver’s price action remains near the apex and below the upper trendline of its massive triangle base. It’s crucial to monitor for a potential breakout, especially as silver mining stocks feature prominently in scanner results and the price of gold surges to new all-time highs.

Silver – Weekly Chart

The uranium-themed ETF continues to trade below its 50-day or 10-week moving average despite numerous appearances of uranium miners in scanner results throughout the week. This configuration suggests a potential binary event. A breakout above the 10-week moving average would potentially signal the resurgence of bullish momentum and a continuation of the uptrend. Conversely, failure to reclaim this level would prompt a reevaluation of any bullish thesis.

Uranium Theme – Global X Uranium ETF

The price of Bitcoin is currently consolidating above the middle Bollinger Band and an upward-sloping 50-day moving average, indicating that price action remains in an uptrend. As the old saying goes, “A trend will remain a friend until the one time it’s not.

Bitcoin – Daily Chart

As we analyze the daily setups, it’s crucial to bear in mind that market leaders like Nvidia or other stocks in robust uptrends could potentially enter a consolidation phase, particularly with a new quarter starting next week. This consolidation might result from fund managers engaging in window dressing to satisfy clients from the previous week. Therefore, it’s imperative to explore scanner results across all sectors and add promising setups to your watchlists, regardless of industry. Utilize the long weekend to review the scanner results; consider running your own scans within our results and researching the names of your favorite setups. Remember, defense is paramount. As Paul Tudor Jones advises, ‘The most important rule of trading is to play great defense, not great offense.’ Some setups have flashed sell signals following recent alerts, while others are setting up or pulling back, possibly retesting their pattern’s breakout line or support level. Keep in mind that even a slight increase in selling pressure could drastically alter the indexes’ outlook. Especially as the new quarter brings uncertainty, staying vigilant is crucial.

US Daily Setups

COPX – Global X Copper Miners ETF

The Global X Copper Miners ETF continues to position itself favorably on the right side of a significant multi-year consolidation pattern. Closely monitor for the potential of continued upside momentum, which could potentially signal a breakout.

LINK TO CHART – https://schrts.co/gnjTxKVZ

 

GDX – VanEck Vectors Gold Miners ETF

The VanEck Vectors Gold Miners ETF is finally showing signs of breaking above the pattern’s upper trendline, which we’ve been closely monitoring. Keep a close eye for any indications of sustained continuation in upside strength.

LINK TO CHART – https://schrts.co/gXHDRDmH

 

GDXJ – VanEck Vectors Junior Gold Miners ETF

The VanEck Vectors Junior Gold Miners ETF is mirroring the movements of GDX, with price action beginning to break out from our identified pattern.

LINK TO CHART – https://schrts.co/FsXcarFF

 

GRVY – Gravity Co. Ltd.

Gravity appears to be positioning itself for a potential breakout.

LINK TO CHART – https://schrts.co/ruGqfRdW

 

LPG – Dorian LPG Ltd.

Dorian LPG seems to be forming a rounded bottom pattern beneath a notable horizontal resistance line. A large volume by price bar on the left side of the chart is worth noting, suggesting significant accumulation throughout the pattern. It could be worth monitoring for any signs of potential breakout signals.

LINK TO CHART – https://schrts.co/dhGiFvdF

 

XHB – SPDR S&P Homebuilders ETF

The SPDR S&P Homebuilders ETF appears poised to sustain its uptrend, buoyed by the resilience of the homebuilders appearing in the scanner results.

LINK TO CHART – https://schrts.co/KXSGpwMC

 

XLE – Energy Select Sector SPDR Fund

The Energy Select Sector SPDR Fund ETF continues to exhibit upside momentum as it breaks out further from its multi-year consolidation pattern.

LINK TO CHART – https://schrts.co/MDxGXYSf

 

Canadian Daily Setups

GLXY.TO – Galaxy Digital Holdings Ltd.

Galaxy Digital continues to consolidate near its lower 52 highs following its recent earnings report. Monitor closely for any indications of a potential continuation of the uptrend.

LINK TO CHART – https://schrts.co/JdRQIAJr

 

MDI.TO – Major Drilling Group Intl, Inc.

Major Drilling is experiencing increased activity as it begins to push above the next level of resistance, fueled by the strength of the resource sector.

LINK TO CHART – https://schrts.co/XnysShqg

 

NTR.TO – Nutrien Ltd.

Nutrien is making an attempt to break out from a consolidating pattern, supported by robust trading volume.

LINK TO CHART – https://schrts.co/SQjuiRtQ

 

TCW.TO – Trican Well Service Ltd.

Trican Well Service is tightly coiled at the apex of a significant multi-month consolidation/continuation pattern. It’s essential to monitor closely for any potential breakout signals.

LINK TO CHART – https://schrts.co/bPjPNgAT

 

TECK/B.TO – Teck Resources Ltd.

Teck Resources is breaking out from a bull flag pattern, following the initial breakout we highlighted earlier. It’s crucial to monitor for any signs of continued upside strength.

LINK TO CHART – https://schrts.co/FXcMsuTe

 

XGD.TO – iShares S&P/TSX Global Gold Index ETF

The iShares S&P/TSX Global Gold Index ETF is breaking out from its consolidation pattern, coinciding with Canadian gold miners lighting up the scanner results. This presents a scenario of picking your preferred strategy. Monitor the scanner results for individual gold miners or consider tracking the ETF for broader exposure.

LINK TO CHART – https://schrts.co/NqxKwWCw

 

ZEB.TO – BMO S&P/TSX Equal Weight Banks Index ETF

The BMO S&P/TSX Equal Weight Banks Index ETF continues its upward trajectory, marking another new high since our last signal on February 28th. This surge comes as Canadian banks display robust price action, with their trends moving steadily higher.

LINK TO CHART – https://schrts.co/BbiCmZVs

To conclude our report, we thank you for your engagement and insights. Your feedback is valuable, and we encourage you to share your recommendations. Stay attentive to the Daily Setups, the Workspace, and the Watchlists for emerging opportunities. Additionally, be sure to explore the PDFs of Friday’s scan results provided below. Until next time, happy trading!

US Scanner Results

Click on the CandleGlance chart to view it in full size. Find a chart that matches your criteria or interests. You can easily save it to your watchlist on StockCharts.com for further analysis and tracking or copy and paste the ticker list into your chart provider.

EXPORT – US Watchlist Scan – 2024-03-28

AAL, AAON, ABBV, ACGL, ACIW, ACM, ACMR, ACN, ADEA, ADI, ADP, AEE, AEM, AEO, AEP, AES, AFRM, AGI, AGM, AGYS, AIZ, AJG, ALB, ALG, ALKT, ALL, ALPN, ALSN, AM, AMAL, AMCR, AMP, AMR, AMWD, AMZN, ANET, ANF, AOS, APA, APAM, APLS, APP, APTV, ARBK, ARCB, ARCO, ARE, ARIS, AROC, ASND, ASR, ASTH, ATEYY, ATI, ATKR, ATO, AVAV, AVB, AVGO, AWK, AX, AYI, BAC, BAH, BALL, BAM, BAND, BBW, BBWI, BCC, BCO, BDX, BECN, BEN, BG, BK, BKR, BLBD, BLD, BLOK, BLX, BPOP, BR, BRBR, BRK/B, BRO, BRP, BURL, BWA, BWXT, BX, BXP, C, CAG, CARR, CASH, CAT, CAVA, CBOE, CBT, CBZ, CCCS, CCJ, CCS, CDRE, CE, CECO, CF, CFB, CFG, CHCO, CHRD, CHRW, CINF, CIVI, CLF, CM, CMA, CMCSA, CMS, CNA, CNM, CNO, CNP, CNXN, COF, COIN, COKE, COPX, CPA, CPAY, CPB, CPG, CPRT, CPT, CR, CRAI, CRH, CRI, CRL, CROX, CRS, CRVL, CSCO, CSTM, CSWC, CSWI, CSX, CTVA, CUBI, CVI, CVLT, CVS, CVX, CW, CXT, D, DAL, DD, DDOG, DDS, DE, DECK, DEFTF, DELL, DFH, DFIN, DFS, DG, DGHI, DGX, DHI, DHR, DHT, DINO, DIS, DK, DKS, DLB, DLR, DLTR, DNN, DOC, DPZ, DRS, DTE, DTM, DUK, DVA, DVN, E, EA, EAT, EBAY, ED, EDR, EFX, EG, EGY, EHC, EIX, EL, EMN, ENLC, ENPH, ENVA, EPAC, EQR, ES, ESAB, ESEA, ESS, ET, ETR, ETRN, ETSY, EVRG, EW, EXC, EXP, EZPW, F, FANG, FBIN, FBP, FCFS, FCN, FCNCA, FCX, FDS, FDX, FE, FFIV, FI, FIHL, FINMY, FIS, FITB, FLR, FMC, FNF, FOR, FRO, FROG, FRT, FSLR, FSS, FTAI, FTNT, FWRG, GBDC, GBX, GDX, GDXJ, GEHC, GEL, GEN, GEOS, GFF, GIS, GLD, GLRE, GM, GMS, GNRC, GOOG, GOOGL, GPI, GPK, GPN, GPOR, GPS, GRBK, GRC, GRMN, GRVY, GS, GWRE, HAL, HAS, HBAN, HCA, HCI, HES, HESM, HIBB, HIG, HII, HLNE, HNI, HOLX, HOOD, HOV, HPQ, HQY, HRB, HSIC, HST, HTGC, HUBS, HWM, IAG, IBCP, IBM, IBN, IBOC, IBP, ICE, ICFI, ICLR, IDCC, IESC, IHI, IMCR, ING, INSW, INTC, INVH, IPAR, IQV, ITB, ITRI, IVZ, IWM, J, JBHT, JCI, JELD, JHX, JKHY, JPM, K, KB, KBH, KD, KEY, KEYS, KGC, KHC, KIM, KLAC, KMB, KMI, KNF, KNTK, KO, KOF, KOP, KR, KRE, KRT, KTOS, L, LAUR, LBRT, LDOS, LEN, LH, LHX, LII, LMND, LNT, LOB, LOW, LPG, LPLA, LPX, LRCX, LSEA, LZ, LZB, MA, MAA, MAIN, MAMA, MANH, MARA, MAS, MBIN, MBWM, MCHP, MCO, MDT, MEDP, METC, MFC, MGM, MGRC, MHK, MHO, MITK, MKC, MLI, MLM, MMM, MMYT, MOG/A, MOS, MPC, MPLX, MRO, MS, MSCI, MSI, MTB, MTCH, MTDR, MTH, MTSI, MYRG, NATR, NBN, NCDL, NCNO, NDSN, NEE, NEM, NET, NEU, NHC, NI, NICE, NMIH, NMM, NOG, NPO, NRG, NSC, NTB, NTRA, NTRS, NVDA, NVEI, NVS, NXE, NXPI, O, OBDC, ODD, ODFL, ODP, OFG, OKE, OLED, OMC, ONON, ONTO, OR, ORCL, ORRF, OSCR, OSG, OSIS, OSK, OTTR, OWL, OXY, PAA, PAGP, PARA, PATK, PAX, PAY, PAYC, PAYX, PBA, PBR/A, PCOR, PEG, PEP, PFBC, PHM, PIPR, PKG, PLD, PNC, PNR, PNW, PPL, PR, PRCT, PRIM, PSN, PSX, PUBM, PWR, PXD, PYPL, QCOM, QCRH, QFIN, QLYS, QSR, QTRX, RAMP, REG, REPYY, REVG, REX, RF, RHI, RJF, RL, RMD, ROK, ROP, RSP, RUSHA, S, SA, SAH, SAIA, SANM, SCCO, SCS, SFM, SHEL, SHW, SIGI, SKWD, SKX, SLV, SM, SO, SPG, SPGI, SPOT, SPSC, SPXC, SQ, SRE, SSD, STEP, STLD, STNG, STT, SUM, SWAV, SWIN, SWK, SWKS, SWN, SYF, T, TCOM, TDY, TEAM, TENB, TER, TFC, TFII, TGT, THC, TIPT, TJX, TMHC, TMO, TMUS, TNC, TNK, TOL, TORXF, TOST, TPH, TPR, TPX, TREX, TRGP, TRIN, TRMB, TRMD, TROW, TRV, TSQ, TT, TTE, TXN, TXRH, TYL, UAL, UAN, UDR, UEC, UGP, ULTA, UMBF, UNP, UPBD, URA, URBN, URG, URI, URNJ, URNM, USB, USO, VECO, VERX, VLGEA, VLO, VNOM, VNT, VRSK, VRSN, VRT, VST, VTR, VTRS, VZ, WABC, WAL, WBA, WBD, WDOFF, WEC, WELL, WES, WEST, WEX, WFC, WIRE, WIX, WMB, WMS, WOR, WPM, WRK, WSC, WSM, WST, WTS, XHB, XLB, XLE, XLF, XLRE, XLU, XME, XOM, XOP, XP, XRX, YUM, ZBRA, ZGN, ZTS, ZWS

 

Canadian Scanner Results

Click on the CandleGlance chart to view it in full size. Find a chart that matches your criteria or interests. You can easily save it to your watchlist on StockCharts.com for further analysis and tracking or copy and paste the ticker list into your chart provider.

EXPORT – Canadian Scanner Results – 2024-03-28

AAV.TO, ABX.TO, ACO/X.TO, ACQ.TO, AEM.TO, AEP.V, AGF/B.TO, AGI.TO, AKG.TO, ALA.TO, AMC.TO, AMX.V, AMZN.NE, AP/UN.TO, AQN.TO, ARE.TO, ARG.TO, ARIS.TO, ARX.TO, ASCU.TO, ASTL.TO, ATH.TO, ATX.V, AVGO.NE, AX/UN.TO, AYR/A.CA, BAM.TO, BAM/A.TO, BEI/UN.TO, BGI/UN.TO, BHC.TO, BIP/UN.TO, BIPC.TO, BMO.TO, BN.TO, BNS.TO, BRK.NE, BTE.TO, BTO.TO, CAE.TO, CATR.NE, CCO.TO, CF.TO, CFX.TO, CG.TO, CHP/UN.TO, CIX.TO, CLP/UN.TO, CM.TO, CNQ.TO, CPG.TO, CS.TO, CSH/UN.TO, CTS.TO, CU.TO, CVS.NE, DF.TO, DIR/UN.TO, DIS.NE, DIV.TO, DNG.TO, DOO.TO, DRX.TO, ECN.TO, EDR.TO, EFR.TO, EIT/UN.TO, ELE.V, EMA.TO, EQ.V, EQX.TO, ERF.TO, ERO.TO, ESI.TO, EU.V, FEC.TO, FIL.TO, FM.TO, FNV.TO, FR.TO, FTN.TO, FVI.TO, G.TO, GAU.TO, GDV.TO, GGD.TO, GIL.TO, GLXY.TO, GOLD.TO, GOLD.V, GOOG.NE, GRA.TO, GRID.TO, GTE.TO, GWO.TO, HBM.TO, HOM/U.TO, HOM/UN.TO, HPS/A.TO, HR/UN.TO, HUT.TO, HWO.TO, ILLM.TO, IMG.TO, IPO.TO, IVN.TO, JAG.TO, JOY.TO, K.TO, KEY.TO, KRR.TO, KTN.V, KXS.TO, LAAC.TO, LGC.V, LGO.TO, LUN.TO, MAG.TO, MDA.TO, MDI.TO, MDNA.TO, MEG.TO, MFC.TO, MOGO.TO, MOOO.CA, MPCT/UN.TO, MTA.V, MUX.TO, NFG.V, NG.TO, NGEX.TO, NGT.TO, NOU.V, NTR.TO, NUAG.TO, NVDA.NE, NVEI.TO, NWH/UN.TO, NXE.TO, OBE.TO, OGC.TO, OLA.TO, ONC.TO, ONEX.TO, OR.TO, ORA.TO, OSK.TO, PAAS.TO, PACT.CA, PALI.V, PD.TO, PET.TO, PHYS.TO, PIF.TO, PMET.TO, PMZ/UN.TO, PNG.V, PPL.TO, PRB.TO, PRU.TO, PRV/UN.TO, PRYM.TO, PSK.TO, PSLV.TO, PYPL.NE, QBTC.TO, QBTC/U.TO, QSR.TO, QTRH.TO, RBY.TO, REG.V, REI/UN.TO, RY.TO, SDE.TO, SEA.TO, SFTC.TO, SGD.V, SGML.V, SGY.TO, SHLE.TO, SIA.TO, SJ.TO, SKE.TO, SLS.TO, SOIL.TO, SOY.TO, SRU/UN.TO, SSL.TO, STLC.TO, STLR.TO, SU.TO, SVM.TO, TECK/B.TO, TFII.TO, TGO.TO, TH.TO, TIH.TO, TIXT.TO, TNT/UN.TO, TNZ.TO, TOU.TO, TOY.TO, TRP.TO, TRUL.CA, TVE.TO, TXG.TO, VET.TO, VGCX.TO, VLE.TO, VLN.TO, VZ.NE, VZLA.V, WIFI.CA, WPM.TO, WRN.TO

 

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