Always consider hidden risks
TSX60 Behavior : A Buyback Index ?
October 7 ( From Stockcharts )
If you would like to receive our free daily markets updates, please Sign-Up
I found a quite interesting trend for the TSX60 Composite Index in terms
of Behavior lately. In fact, what we can observe is that the Trend for
the Index is exactly the same Technical Pattern as the TSX Buyback
Index as shown by the chart below.
An also observe the performance of the two Index as of October 6:
( from TMX Money web site )
The performance is almost the same.... So for me, the Canadian market behavior is like the behavior of the Buybacks from Corporations ....
An interesting article was written back on May 21 2105 on that subject
by Ian McGugan from the Globe and Mail:
The buyback express appears destined for a bumpier, slower ride
The TSX is still within a downtrend channel that started back in April 2015 and in a dead cat bounce from oversold condition on a short term basis Mainly because of my TSX Trendicator was getting below the 3.0 level.. ( See Chart - Channel ).
But the most interesting technical factor is that we are testing a Major Trendline on a Monthly basis that started back in March 2009 on the TSX. ( See Chart Below - Thick Amber Line ).
TSX60 Behavior : A Buyback Index ? $TSX #Trading #Canada #investing #tsx60
TSX Index ( Daily Candles)
TSX Buyback Index ( Grey Area )
TSX Index Monthly Candles
Index Name Performance Year-to-Date in % ( as of October 6 2015 )
S&P/TSX Composite Index -6.73%
S&P/TSX Composite Buyback Index (CAD) -7.16%