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.
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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
Navigating Market Turbulence: Insights from April’s Challenges and May’s Potential Volatility
April proved challenging as the S&P 500 index recorded a significant 4.2% drop, marking its worst performance since September. This decline soured sentiment as we entered the final week of the month. The Institutional Investors Bull/Bear ratio plummeted from 3.9 to 2.1, representing the most substantial week-over-week slide in bullishness since February 2018. Technically, this sentiment shift was evident, with price action remaining below the 50-day moving average on major indexes. Adding to the concern, the S&P 500 experienced a sudden 0.6% drop during the last 10 minutes of trading on Tuesday and Wednesday. It hints that perhaps someone with more insight than the average investor was selling their positions, utilizing strength to reduce stock exposure.
As the week unfolded, anticipation for Friday’s jobs report intensified, fueled by the unusual sight of consecutive days closing with notable declines in the final trading minutes. However, amidst this growing anticipation, the chatter on CNBC about the potential bearish flag setups we were monitoring caught my attention. It’s a recurring phenomenon – when the mainstream, like CNBC, highlights the obvious, outcomes rarely unfold as expected. The market tends to defy conventional wisdom, especially when situations appear too clear-cut. And more often than not, those who exhibit unwavering confidence end up bearing the brunt of unexpected turns. The market always finds a way to hurt the most.
Another interpretation of the situation arising from the combination of shifting sentiment and the notable selling activity at the market close suggests that investors may have been bracing for a crisis that ultimately failed to materialize. This phenomenon, often called the “wall of worry,” tends to keep investors on the sidelines. However, if a crisis fails to materialize and the market begins to rebound, sidelined funds re-enter the market, providing upward momentum as money managers scramble to catch up with performance.
Although we’re not out of the woods yet, April’s payroll numbers fell short of expectations but demonstrated notable strength. The 10-year Treasury yield, which had been on the verge of surpassing 5%, has now retreated. Additionally, corporate earnings, including those of tech giants like Apple, were better than anticipated, contributing to overall market optimism. This collective data suggests that inflation may not pose as significant a threat as previously feared. Fed Chair Powell’s indication that further interest rate hikes may not be necessary reinforces this sentiment. Moreover, the Nasdaq’s recovery of its 50-day moving average and its closure above the previously highlighted resistance level on Thursday signals resilience in the tech sector.
Nasdaq – Daily Chart
When analyzing the Red-Light/Green-Light Breadth System, Friday flashed a bullish signal, enhancing the robustness of the U.S. scanner results. This underscores the idea that the best charts often emerge when most are preoccupied with predicting index movements. As mentioned earlier, such attempts at prediction typically end unfavorably, as the market tends to inflict the most harm. Many of today’s featured charts displayed strength and showed no correlation to the indexes as they sold off. Subsequently, as the market rebounded, they began to ascend. These technical setups consistently provide a clear path for defining risk by setting a stop-loss order rather than attempting to catch a falling knife. With earnings season winding down and a light economic calendar ahead, the risk of a significant market move lower is diminishing.
The Red-Light/Green-Light Breadth System
However, if the market requires an excuse for a pullback, it has several options to choose from. The release of April’s Consumer Price Index on May 15, Nvidia’s earnings on May 22, and the release of the Personal Consumption Expenditures Price Index on May 31 are events with market-moving potential. Hence, one can anticipate increased volatility as we enter the summer months. Investors could gradually increase exposure if the market rally continues to perform well. However, it’s crucial to have an exit strategy in place if the indexes start to roll over, especially considering that the S&P 500 and Russell 2000 remain below their 50-day moving averages, and the Nasdaq could easily fall back below that same key level. Looking back at last week, all sectors were higher except for energy and financials.
What Worked Last Week
When assessing the S&P 500, although there’s bullish momentum, it’s yet to reclaim the 50-day moving average. Nvidia emerges as a standout among our daily setups, hinting at broader market trends due to its status as a market leader. Should Nvidia experience a breakout, it could propel the S&P above the 50-day moving average, mirroring the Nasdaq’s recent move. Presently, the S&P 500 seems poised for a two-week winning streak, contrasting with expectations of a continued downturn. This underscores the importance of seizing opportunities, even amidst chaotic circumstances, especially when crises fail to materialize.
S&P 500 – Daily Chart
The Dow Jones has breached the horizontal resistance line but fell short of closing above the 50-day moving average. Any bullish sentiment at the start of next week could signal a confirmation.
Dow Jones Industrial Average – Daily Chart
The Russell has a bullish setup, with price action nearly closing above the 50-day moving average, although it was well above it at one point during the day.
Russell 2000 (ETF) – Daily Chart
Following the jobs data release, futures traders increased their wagers on rate cuts for the year, leading to a decline in bond yields. The yield on the benchmark 10-year Treasury notes closed at 4.500%, down from 4.569% on Thursday. As prices rose, yields fell, aligning with market dynamics.
10-Year US Treasury Yield
On Friday, the dollar dipped to a three-week low against the yen following the data release indicating a more significant slowdown in U.S. jobs growth than anticipated, accompanied by a moderation in annual wage gains. The dollar index slipped by 0.84% to 104.92, touching 104.41 at one point this week, its lowest level since April 10. Conversely, the euro strengthened by 0.39% to $1.0766. From a technical standpoint, price action encountered resistance at the overhead line we’ve been monitoring, suggesting a continuation of the unwinding of USD oversaturation positioning, as previously highlighted in recent analyses
US Dollar – Weekly Chart
This week, crude oil witnessed bearish price action as it not only breached the potential bullish flag retest but also dropped below the critical 40-week or 200-day moving average and a key support level. Presently, it’s a matter of observation and reaction. The forthcoming week will be pivotal to gauge whether the price exhibits further downside follow-through.
Crude Oil – Weekly Chart
The TSX persists in consolidating near the 50-day moving average, with price action suggesting a formation below a horizontal resistance line. Notably, observe the substantial volume by price bar on the left side of the chart, underscoring the significance of this level. A breakout above would signal a bullish trend. It’s reasonable to anticipate that such a move would align with broader market indexes.
TSX – Daily Chart
Copper’s price action held steady above the recent breakout line, closing the week with a doji candle. A doji candle, a pattern often observed in candlestick charts, suggests a neutral market sentiment, with neither buyers nor sellers exerting dominance. Watch for a potential directional move next week, particularly as many copper miners remain technically poised for action.
Copper – Weekly Chart
The price of gold recently pierced through the 21-day exponential moving average as the price action retraces within a controlled flagging pattern. Stay prepared to monitor and respond, particularly if the price action revisits the 50-day moving average for a potential retest.
Gold – Weekly Chart
Silver is pulling back in a fashion similar to that of gold.
Silver – Weekly Chart
The uranium theme exhibits a bullish setup, with price action positioned favorably within a consolidation/continuation pattern. There may be a broader theme at play, as indicated by an article discussing the increasing power demands of data centers for AI and crypto, potentially hinting at a larger trend. You can find the article:
Uranium Theme – Global X Uranium ETF
Bitcoin had a strong week, yet its price action remains constrained below the 50-day moving average and a horizontal resistance level. Keep an eye on whether this barrier is breached to the upside or continues to act as resistance.
Bitcoin – Daily Chart
US Daily Setups
AMZN – Amazon.com, Inc.
Amazon is attempting to continue its uptrend. Watch its price action for potential confirmation of this upward movement.
LINK TO CHART – https://schrts.co/gZQsgVIy
AVAV – AeroVironment Inc.
AeroVironment continues to see robust price action from the recently highlighted continuation pattern. Keep monitoring closely for further confirmation of this strength.
LINK TO CHART – https://schrts.co/PxAzFfDY
BEPC – Brookfield Renewable Corporation
Brookfield Renewable is now setting up below the upper trendline of the pattern highlighted earlier this week following its agreement with Microsoft to provide electricity. Watch its price action for potential breakout signals.
LINK TO CHART – https://schrts.co/jfsUBsyU
CEG – Constellation Energy Corp.
Constellation Energy is consolidating in the form of a potential continuation pattern leading up to its earnings date on the 9th. Monitor closely for any potential breakout signals as the earnings date approaches.
LINK TO CHART – https://schrts.co/rKVnnPEI
COPX – Global X Copper Miners ETF
The Global X Copper Miners ETF continues to offer a bullish trend-following setup despite price action being down for the week. It still demonstrates potential momentum from the recent breakout.
LINK TO CHART – https://schrts.co/QijRrwMG
COST – Costco Wholesale Corp.
Costco Wholesale is attempting to break out from a bullish flag continuation pattern. Keep a close eye on price action for confirmation of this breakout.
LINK TO CHART – https://schrts.co/cNZTRdjT
CVLT – CommVault Systems Inc.
CommVault Systems is seeing robust price action following its recent earnings report. Keep monitoring closely for further developments.
LINK TO CHART – https://schrts.co/WXZHImWW
DGX – Quest Diagnostics Inc.
Quest Diagnostics continues to set up below a significant trigger line. Watch price action for potential breakout signals.
LINK TO CHART – https://schrts.co/ZNWSjUIe
FSLR – First Solar Inc.
First Solar is acting positively following its recent earnings report. Watch its price action for potential further developments.
LINK TO CHART – https://schrts.co/XnWreHgr
GCT – GigaCloud Technology Inc.
GigaCloud Technology continues to set up below the upper trend line of its continuation pattern. Keep monitoring closely for any potential breakout signals.
LINK TO CHART – https://schrts.co/sIemwfUX
GEV – GE Vernova LLC
GE Vernova is an example of a robust setup that emerged as a breakout, regardless of the overall index price action. Keep an eye on similar setups for potential trading opportunities.
LINK TO CHART – https://schrts.co/CjGgKmFF
GOOGL – Alphabet Inc.
Alphabet is attempting to move higher from its bullish flag pattern. Keep a close watch on its price action for confirmation of this upward movement.
LINK TO CHART – https://schrts.co/mSuzJdnq
MSFT – Microsoft Corp.
Microsoft is set up for a potential falling channel breakout. Keep a keen eye on price action for confirmation of this breakout.
LINK TO CHART – https://schrts.co/XqqcmAIT
NVDA – NVIDIA Corp.
Nvidia remains robust, and price action appears to be setting up below a potential trigger line. Watch for any potential breakout signals.
LINK TO CHART – https://schrts.co/BMMNVscr
PLTR – Palantir Technologies, Inc.
Palantir appears to be setting up as it heads into its earnings date on the 6th. Keep an eye on its price action for potential developments around this event.
LINK TO CHART – https://schrts.co/bZefKdak
SII – Sprott Inc.
Sprott is attempting to move higher from the recently highlighted continuation pattern. Keep monitoring closely for confirmation of this upward movement.
LINK TO CHART – https://schrts.co/EUtERckT
TKO – TKO Group Holdings, Inc.
TKO Group Holdings is attempting to move higher from a bullish flag continuation pattern leading into its earnings date. Watch its price action for potential developments around this event.
LINK TO CHART – https://schrts.co/RmJSIHQC
URA – Global X Uranium ETF
The Global X Uranium ETF continues to set up for a potential breakout. Keep a close watch on its price action for confirmation of this potential move.
LINK TO CHART – https://schrts.co/uMhFDewy
URNJ – Sprott Junior Uranium Miners ETF
The Sprott Junior, Uranium Miners ETF, continues to set up for a potential breakout. Monitor closely for any signs indicating confirmation of this breakout.
LINK TO CHART – https://schrts.co/gZKqJnmQ
WFC – Wells Fargo & Co.
Wells Fargo appears to be setting up in a bullish flag continuation pattern. Keep an eye on its price action for potential confirmation of this pattern.
LINK TO CHART – https://schrts.co/EAuiXqeE
Canadian Daily Setups
AMZN.NE – Amazon.com Inc. – Canadian Depository Receipt
Amazon is attempting to continue its uptrend. Keep an eye on its price action for potential confirmation of this upward movement.
LINK TO CHART – https://schrts.co/eZyXQzSS
BEPC.TO – Brookfield Renewable Corporation
Brookfield Renewable is now setting up below the upper trendline of the pattern highlighted earlier this week following its agreement with Microsoft to provide electricity. Watch its price action for potential breakout signals.
LINK TO CHART – https://schrts.co/HfhVqUfR
BRM.V – Biorem Inc.
Biorem is consolidating in a potential bullish flag continuation pattern. Watch its price action closely for confirmation of this pattern.
LINK TO CHART – https://schrts.co/vIWnhBtJ
CCO.TO – Cameco Corp.
Cameco continues to consolidate below its recent highs. Monitor closely for any potential breakout signals.
LINK TO CHART – https://schrts.co/CbmBwwkR
CM.TO – Canadian Imperial Bank Of Commerce
Canadian Imperial Bank Of Commerce is set up in the form of a potential bullish flag continuation pattern. Keep an eye on its price action for confirmation of this pattern.
LINK TO CHART – https://schrts.co/WupBjnjc
COST.NE – Costco Wholesale Corp – Canadian Depository Receipt
Costco is attempting to break out from a bullish flag continuation pattern. Keep a close eye on price action for confirmation of this breakout.
LINK TO CHART – https://schrts.co/qRDqXiAf
CPH.TO – Cipher Pharmaceuticals Inc.
Cipher Pharmaceuticals continues to consolidate below its 52-week high. Monitor closely for any potential breakout signals.
LINK TO CHART – https://schrts.co/SQvHbGDm
DML.TO – Denison Mines Corp.
Denison Mines continues to set up, mirroring the broader uranium market. Keep an eye on its price action for potential developments in line with the uranium sector.
LINK TO CHART – https://schrts.co/TGaUbZki
GOOG.NE – Alphabet Inc – Canadian Depository Receipt
Alphabet is attempting to move higher from its bullish flag pattern. Keep a close watch on its price action for confirmation of this upward movement.
LINK TO CHART – https://schrts.co/NyUIfSQg
NVDA.NE – NVIDIA Corp – Canadian Depository Receipt
Nvidia remains robust, and price action appears to be setting up below a potential trigger line. Watch for any potential breakout signals.
LINK TO CHART – https://schrts.co/CfGMfimm
NXE.TO – NexGen Energy Ltd.
NexGen Energy continues to set up below its 52-week high. Monitor closely for any potential breakout signals.
LINK TO CHART – https://schrts.co/XPGkZpji
SII.TO – Sprott Inc.
Sprott is attempting to move higher from the recently highlighted continuation pattern. Keep monitoring closely for confirmation of this upward movement.
LINK TO CHART – https://schrts.co/bJXMsyiH
URE.TO – Ur-Energy, Inc.
Ur-Energy appears to remain set up on the right side of a significant multi-month consolidation pattern. Keep an eye out for any potential breakout signals as the pattern develops.
LINK TO CHART – https://schrts.co/MYypFHhQ
X.TO – TMX Group Inc.
TMX Group is attempting to move higher from a bullish continuation pattern. Watch its price action closely for confirmation of this upward movement.
LINK TO CHART – https://schrts.co/MYKZcxCt
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 – 2024-05-03
ABBNY, ABBV, ACA, ADI, AER, AGI, AIG, AIZ, ALKT, AM, AMAT, AMCR, AMP, AMR, ANET, ANF, APD, APH, APP, APTV, ARCH, ARCO, ARIS, ARLP, AROC, ASML, ASR, ATGE, AVAV, AVY, AWK, AYI, BABA, BALL, BAM, BBWI, BCO, BK, BLBD, BLX, BMA, BR, BRC, BRO, BSX, BSY, BVN, BWA, BWMX, BWXT, BYRN, C, CACI, CAMT, CASH, CAVA, CBOE, CCAP, CCEP, CDLX, CDNS, CDRE, CEG, CELH, CENTA, CFB, CHD, CHKP, CIVI, CLS, CM, CNC, COKE, COOP, COPX, COST, CPNG, CPRT, CPT, CRBG, CRH, CRS, CRVL, CRWD, CSGP, CSWC, CSX, CTAS, CTLT, CTVA, CVLT, CVNA, CW, DAC, DAL, DB, DCI, DE, DECK, DEFTF, DFIN, DGX, DIS, DKS, DLB, DLTR, DOV, DTE, DUK, DUOL, DXCM, DY, EDU, ELMD, ELV, EME, EMN, ENPH, ENTG, EPAC, EQT, ERIE, ERJ, ERO, ETHE, ETN, ETR, ETRN, EVR, EVRG, EWBC, FCX, FERG, FICO, FIS, FITB, FIX, FMC, FN, FOR, FORM, FOX, FRPT, FSLR, FTAI, FUTU, GBDC, GBTC, GCT, GD, GDRZF, GEL, GEV, GIB, GNRC, GPC, GPS, GRMN, GRVY, GS, GTLS, GVA, GWW, HD, HES, HESM, HLX, HNI, HON, HOOD, HSY, HTGC, HWM, IBKR, IBOC, ICFI, ICLR, IDCC, IDT, IESC, IMCR, ING, INSW, INTU, IOT, IP, ISRG, ITRI, IVZ, IWF, J, JHX, KALU, KB, KBH, KD, KDP, KEX, KIM, KLAC, KMI, KNTNF, KO, KOF, KSPI, KTOS, LAUR, LKQ, LMAT, LNC, LNW, LOGI, LOVE, LPLA, LRCX, LRN, LYV, MAIN, MAMA, MBIN, MDT, MELI, METC, METV, MFC, MITK, MKC, MLR, MMYT, MNST, MORN, MS, MSFT, MSI, MTCH, MTSI, MUFG, NDAQ, NDSN, NEE, NFLX, NGVC, NLR, NMM, NOW, NRG, NSIT, NTAP, NTRA, NU, NUE, NVDA, NVMI, NVT, NWS, NWSA, NXT, ODC, ODFL, ODP, ONTO, OPRA, ORRF, PAA, PAGP, PANW, PDD, PEP, PFBC, PFG, PFGC, PFSI, PG, PLMR, PNW, PPC, PRCT, PRMW, PRU, PUBM, QQQ, QSR, QUIK, RBLX, RDY, REGN, REVG, REX, RGA, RL, ROL, RRC, RUM, RYAAY, SCCO, SCS, SDRL, SEIC, SF, SFM, SHAK, SHOP, SII, SKWD, SKX, SM, SMH, SMR, SN, SNPS, SNX, SPGI, SPOT, SPXC, SPY, SQSP, SRPT, STLD, STNE, STNG, STT, T, TBBB, TCOM, TDG, TDW, TECH, TEL, TER, TEX, TKO, TM, TMDX, TRAK, TREX, TRI, TRIN, TRMD, TSCO, TSM, TSN, TTEK, TTWO, TXN, UAN, UBS, UDR, UFPT, UGP, URBN, URNJ, USAP, USFD, USLM, VCTR, VECO, VGT, VIPS, VIST, VIV, VLTO, VRRM, VRSK, VRTS, VSEC, VST, VTR, VTRS, VVV, WAB, WABC, WAT, WCN, WDAY, WES, WING, WIRE, WM, WMG, WMT, WOR, WS, WSM, WSO, WWD, XEL, XLB, XLC, XLK, XLP, XLU, YPF, ZBH
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 – 2024-05-03
ABBV.NE, AEP.V, AFM.V, AGI.TO, AP/UN.TO, ATRL.TO, AYA.TO, AYR/A.CA, BAM/A.TO, BAMR.TO, BBD/B.TO, BCE.TO, BDT.TO, BEI/UN.TO, BEP/UN.TO, BEPC.TO, BIP/UN.TO, BIR.TO, BLX.TO, BMO.TO, BN.TO, BNRE.TO, BRM.V, CAD.V, CAE.TO, CCL/B.TO, CG.TO, CGX.TO, CIA.TO, CIG.TO, CIGI.TO, CIX.TO, CLP/UN.TO, CLS.TO, CM.TO, COST.NE, CPH.TO, CPLF.TO, CS.TO, CSH/UN.TO, D/UN.TO, DBM.TO, DFN.TO, DFN/PA.TO, DGS.TO, DHT/UN.TO, DIV.TO, DML.TO, DNG.TO, DOL.TO, DOO.TO, DRM.TO, DSG.TO, EFN.TO, ELE.V, EMP/A.TO, EPRX.TO, EQB.TO, ERO.TO, ETHC.NE, FDR.V, FEC.TO, FFH.TO, FM.TO, FNV.TO, FOM.TO, FTN.TO, FWZ.V, GIB/A.TO, GRID.TO, GTWO.TO, GUD.TO, GWO.TO, HME.V, IBAT.CA, IFC.TO, IGM.TO, IIP/UN.TO, K.TO, KUT.V, LABZ.NE, LCS.TO, LGC.V, LMN.V, MAU.V, MFC.TO, MI/UN.TO, MPCT/UN.TO, MRE.TO, MRU.TO, MSFT.NE, MX.TO, NA.TO, NB.TO, NFI.TO, NGEN.V, NVA.TO, NVDA.NE, NVEI.TO, NWH/UN.TO, ONEX.TO, PD.TO, PIF.TO, PLSR.V, PMZ/UN.TO, POW.TO, PRMW.TO, PRQ.TO, QBR/B.TO, QSR.TO, RCI/B.TO, RCK.V, RECO.V, RML.V, RY.TO, SHOP.TO, SIA.TO, SII.TO, SIS.TO, SLF.TO, STEP.TO, TA.TO, TECK/B.TO, TF.TO, TLRY.TO, TRI.TO, TRP.TO, TSU.TO, VNP.TO, WCN.TO, WED.V, WN.TO, X.TO, ZDC.V