The technical outlook for the Toronto Stock Exchange for Wednesday was for stocks to try to rally and then sell lower breaking to the 14500 level. In the morning stocks rallied to start and quickly reached 14600. Within a few minutes though stocks were back falling and by 10:00 AM the Toronto Stock Exchange has fallen to 14500. It took just 30 minutes for the index to waver at this support point before stocks fell through. For the remainder of the morning and through the lunch hour stocks traded below 14500.
Then Fed minutes were released which basically pointed out to investors that the Fed has no plans to raise rates immediately and may in fact have to wait beyond the Spring. The wording was such that it reassured investors. With “don’t fight the Fed” attitude in full swing, investors jumped back in and pushed the index back up. By the close the Fed rally has the index at 14,666.47.
Here is the market direction for the TSX for October 9 2014. The rest of this TSX market direction outlook article is for members.
TSX Market Direction Outlook for Oct 9 2014
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