Author: Paul Kornfeld

One sector which has had particularly positive earnings this quarter, in terms of both results and guidance, has been US airlines. United Airlines (UAL) has been soaring back up the rankings in the SIA S&P 500 Index Report in the last week on anticipation and then in response to last week’s strong numbers. UAL which spent most of the last year in the red zone, has rocketed up to the top of the Yellow Neutral Zone in recent days. United Airlines is currently sitting in 128th position two spots outside the green zone, after moving up 31 spots in one day and 230 places in the last month.

Since bottoming out near the bottom of the red zone back in the summer, copper miner First Quantum Minerals has been working its way back up the rankings in the SIA S&P/TSX 60 Index Report. On Friday it returned to the Green Favored Zone for the first time since June after jumping 12 spots on the day and 36 positions in the last month to 13th place.

Beverage producer Primo Water (PRMW.TO) has been climbing back up the rankings in the SIA S&P/TSX Composite Index Report. After a couple of false starts over the years, the shares snapped out of a relative strength downtrend and after consistently rising in the rankings since August, has returned to the Green Favored Zone for the first time since the summer of 2020. Yesterday, PRMW.TO finished in 57th place, up 3 spots on the day and up 62 positions in the last month.

Oil producer Canadian Natural Resources (CNQ.TO) continues to climb back up the rankings in the SIA S&P/TSX 60 Index Report. Bouncing back from a summer slide, CNQ.TO returned to the Green Favored Zone in August. Yesterday it finished in 6th place, up 6 positions on the day and up 23 spots in the last month.

Netflix’s relative strength has started to improve lately. It dropped out of the green zone in the SIA S&P 100 Index report back in August of 2020 and has spend most of the last two years stuck in the red zone. In August of this year, it climbed back up into the Yellow Neutral Zone and may potentially increase relative strength today based on premarket action.

Discount retailer TJX Companies (TJX) who operates the Winners, Marshalls, and HomeSense chains, had been weakening within the SIA S&P 500 Index Report for two years, but since April, it has completely turned around. For the last six months, TJX has been strengthening relative to other big cap companies and yesterday it returned to the Favored Zone for the first time since March of 2020. Currently, TJX is sitting in 122nd place, up 7 spots yesterday and up 54 positions in the last month.

Apple (AAPL), which participated in the summer rally on both an absolute and relative basis, has seen its relative strength and ranking steadily erode within the SIA S&P 500 Index Report since August. On Friday, it dropped out of the green zone and back into the Yellow Neutral Zone for the first time since August dropping 5 spots to 130th place. AAPL is down 34 positions in the last month.

In an example of “value” or defensive stocks attracting renewed interest in turbulent times for the markets, tobacco producer Altria Group (MO) has rallied back up in the relative strength rankings in the SIA S&P 100 Index Report bouncing back from a summer slide into the red zone. Yesterday it returned to the Green Favored Zone for the first time since June, finishing in 26th position up 3 spots on the day and up 51 places in the last month.

A relative strength uptrend for electric and gas utility Southern Company (SO) appears to have come to an end. Between December and September, SO steadily climbed up the rankings of the SIA S&P 100 Index Report, rising from deep in the red zone up into the green zone. Yesterday it fell out of the green zone into the Yellow Neutral Zone for the first time since April after dropping 7 spots to 30th place. SO is down 23 positions in the last month.