FINANCIAL ICEBERG
Always consider hidden risks
​
 TECHNICALS
Cda TSX Small Cap Index:  November 2008 Critical Support Tested ?
 January 25 ( From Stockcharts  )
If you would like to receive our free daily markets updates, please Sign-Up









The Situation

​
​​Pressure is still on the Canadian TSX Small Capitalization Index as all the
moving averages are still declining...​

​​On November 16 2015, we had the 20 DMA ​​(Day Moving ​Average - ​yellow 
​line) ​crossed below the 50 DMA (Day Moving ​Average - ​red line) , another 
​bad omen...  We are still below the 200 DMA (Day Moving Average - 
​Green Line)​ since September 19 2014. ( See first chart below ) 

The TSX Small Cap Index is within a downtrend channel that started back 
​on October 9 2015 with 410.03 as support and ​476.90 as resistance. We need to stay below the 50 DMA (Day Moving Average - Red Line) now at 476.25 to keep a negative technical set up. ( See first chart below ) 


​​​Few realize that in fact, the TSX Small Capitalization Index behavior is following the trend in Oil prices as shown by the first chart below...​

​​​​The TSX Small Capitalization started to underperform ​​since
​January 7 ​​compare to ​the Mighty TSX60 Index 
​( so on a relative basis) and the ​20 DMA
(Day Moving Average - Yellow Line) ​​​on that Ratio turned ​downward on January 11. ​​But Only getting back above the 200 DMA (Day Moving Average - ​Green Line)​ now at 0.6479 will change the Major Bear Trend...
​
​​​​But the most interesting technical factor is that we tested last week the Major Support on a relative basis 
​(Ratio of the TSX Small Capitalization over ​the Mighty TSX60 Index). For Technical strenght, we need to stay above that old Major Support reached back on November 2008.  ​( See second chart below - Amber line - Ellipses )...







​







​



 Cda TSX Small Cap Index:  November 2008 Critical Support Tested ? $TSX  #Trading #Canada  #investing  #tsx60


RATIO
​TSX Small Capitalization Index
over​
​TSX60 Index  Index 
20 DMA ( Yellow Line )
​​​50 DMA ( Red Line )

200 DMA (  Green Line )







Financialiceberg.com


Financialiceberg.com


TSX Small Capitalization Index
Daily Candles​ - Right Scale
​20 DMA ( Yellow Line )

​50 DMA ( Red Line )

200 DMA ( Green Line )
Oil Price ​- Blue Line - Left Scale