Aug 13, 2019
Javed Mirza's Top Picks: Aug. 13, 2019
BNN Bloomberg
Full episode: Market Call Tonight for Tuesday, August 13, 2019
Javed Mirza, technical analyst at Canaccord Genuity
Focus: Technical analysis
MARKET OUTLOOK
A sharp drop in investor sentiment last week caused markets to hit levels consistent with prior intermediate-term price lows. This supports another upside equity market reacceleration attempt; however, it would need to be confirmed by a close above key resistance on the S&P 500 near 2,946. A close above 2,946 reaffirms our original thesis of an equity market rally into late August or early September with an upside technical target near 3,100 on the S&P 500.
A failure to get above 2,946 on the S&P 500 over the next two weeks would suggest another down leg is pending. This would cause our target to shift to approximately 2,800 on the S&P 500 and approximately 15,838 on the TSX Composite. Our longer-term technical view remains unchanged and we view an intermediate-term correction as a long-term opportunity to add exposure to equities. Our technical work suggests a new four-year cycle is underway, with upside, into 2021.
TOP PICKS
Waste Connections (WCN.TO)
Canadian Pacific Railway (CP.TO)
Canadian Apartment Properties REIT (CAR_u.TO)
DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
---|---|---|---|
WCN | N | N | Y |
CP | N | N | N |
CAR_u | N | N | N |
PAST PICKS: JUNE 18, 2019
Suncor Energy (SU.TO)
- Then: $41.69
- Now: $37.94
- Return: -9%
- Total Return: -9%
Cenovus Energy (CVE.TO)
- Then: $11.88
- Now: $11.54
- Return: -3%
- Total Return: -3%
Lundin Mining (LUN.TO)
- Then: $6.92
- Now: $6.20
- Return: -10%
- Total Return: -10%
Total return average: -7%
DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
---|---|---|---|
SU | N | N | Y |
CVE | N | N | N |
LUN | N | N | Y |
FUND PROFILE: THE CANADIAN FOCUSED EQUITY PORTFOLIO
Performance as of Aug. 12, 2019:
- 1 month: Fund -2.95%, Index -1.38%
- 1 year: Fund 2.45%, Index 2.66%
- Since inception (Jan. 26, 2018): Fund 7.44%, Index 4.83%
Index: S&P/TSX Composite Index
Fund’s returns are based on reinvested dividends and are net of fees
TOP HOLDINGS AND WEIGHTINGS
- Royal Bank of Canada (RY.TO) – 8.0%
- TD Bank (TD.TO) – 7.0%
- Suncor Energy (SU.TO) – 5.0%
- CN Rail (CNR.TO) – 5.0%
- Alimentation Couche-Tard (ATDb.TO) – 4.0%
TWITTER: @CanaccorGenuity
WEBSITE: canaccordgenuity.com
LINKEDIN: linkedin.com/in/javed-mirza-cfa-cmt-9602bb2