Thank you for joining us in a weekly technical look at the mid-cap oriented INK Canadian Insider (CIN) Index. Last week, the INK Canadian Insider Index went from notching 2020 highs to plunging a steep 127 points or 10.4% as US and world markets tumbled. The INK CIN did bounce off its intraday low on Friday of 1070.58 to close at 1095.92.
MACD plunged 12.1 points to -15.36. RSI plunged a whopping 52.93 points or 74% to 18.31. We are at levels of past wipeouts that preceded major reversal rallies in the INK CIN.
Support moves to 1070 and 1090. Resistance falls to 1100 and 1120.
As performance goes on a dire week, the INK CIN outpaced the SPDR S&P 500 ETF (SPY*US) (-11.16%), silver (-11.19%), and crude oil (-16.15%), but trailed copper (2.61%) and gold (-4.98%).
What looked like the start of a rosy breakout for the INK CIN last week was short-circuited by a worldwide market sell-off. However, I suggest investors remain calm. We are in an election year and we are all but certain to see rate cuts and economic stimulus that will send gold, silver, and markets higher over the next couple of months.
The INK Canadian Insider Index is used by the Horizons Cdn Insider Index ETF (HII).
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