The bearish fundamentals behind Natural Gas may have alleviated just in time for its period of seasonal strength.

*** Stocks highlighted are for information purposes only and should not be considered as advice to purchase or to sell mentioned securities.   As always, the use of technical and fundamental analysis is encouraged in order to fine tune entry and exit points to average seasonal trends.

Stocks Entering Period of Seasonal Strength Today:

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ProShares S&P 500 Dividend Aristocrats ETF (NYSE:NOBL) Seasonal Chart

WisdomTree LargeCap Dividend Fund (NYSE:DLN) Seasonal Chart

BMO Aggregate Bond Index ETF (TSE:ZAG.TO) Seasonal Chart

SkyWest, Inc. (NASD:SKYW) Seasonal Chart

Fidelity MSCI Consumer Staples Index ETF (AMEX:FSTA) Seasonal Chart

Invesco BuyBack Achievers ETF (NASD:PKW) Seasonal Chart

BMO S&P/TSX Equal Weight Industrials Index ETF (TSE:ZIN.TO) Seasonal Chart

Gallagher Arthur J & Co. (NYSE:AJG) Seasonal Chart

BMO S&P/TSX Equal Weight Banks Index ETF (TSE:ZEB.TO) Seasonal Chart

Assurant Inc. (NYSE:AIZ) Seasonal Chart

Teucrium Sugar Fund (NYSE:CANE) Seasonal Chart

 

Super Simple Seasonal Portfolio

 

Note: Due to initial difficulties sending out this report, we are resending it to assure that it is received by all. No changes have been made. We apologize for any duplication that may result.

 

The Markets

Stocks slipped on Thursday as investors expressed their disappointment to earnings from some notable NASDAQ listed entities, namely Netflix (NFLX) and Tesla (TSLA).  The S&P 500 Index closed lower by just less than seven-tenths of one percent, falling out of overbought territory, according to the Relative Strength Index (RSI).  Support remains solid below at the rising 20-day moving average, now at 4444.  Momentum indicators continue to retain characteristics of a bullish trend above their middle lines, however, a divergence with respect to MACD remains ongoing as buying demand wanes around these 52-week high levels.  The benchmark reached within 22 points of our proposed summer rally target of 4600 and based on the fact that the largest segment of the market, technology, is now showing signs of rolling over, we may have just seen the peak to the summer rally trade.  Seasonally, beyond the first few weeks of July, performance of stocks tends to show lacklustre results through September, as depicted in the real-time seasonal charts at the bottom of this report.  It is important that whatever equity exposure is maintained through this period of volatility ahead that seasonal and fundamental justification exists.

 

Seasonal charts of companies reporting earnings today:

 

S&P 500 Index

 

TSE Composite