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COMMENT

Market. We have a rally afoot presently, he thinks. Normally we see Managers selling winners in June to reposition later in the summer, which can position the market later for a good rally. The trade wars will likely resolve themselves, he believes, so he still sees a brief rally playing out before the fall. The TSX has been in a long term bull trend and he expects it to continue. However, if we saw the TSX move below 15,000 roughly, he would become cautious. The S&P500 continues its bull run and is looking to make yet another new high and he expects that to continue. He thinks any calming of the trade wars with China would cause a short-term sharp upward rally.

Unknown
COMMENT

Where should one park US currency? He is looking for areas that are seasonally strong, like health care and the NASDAQ. He would also look at pharma and bio-tech, which are demonstrating good bottoming on the charts. August could be volatile as trading desks are often staffed by junior traders.

Unknown
COMMENT

Perpetual preferred shares and interest rate increases. Perpetual preferreds are not his favorite holding, because of the interest rate increases. However, after selling most of their interest rate sensitive holdings, he is thinking rates may be peaking. He would hold an ETF for a preferred portfolio such as PFD-T. He thinks the equity market for common shares may provide more liquidity, such as Fortis, Altagas or Enbridge and they tend to have a lower beta as well.

Unknown
COMMENT

What maximum percentage would you recommend for a holding? Hold no more than 25% for an individual sector. Base metals holdings would never get this close, but banks and utilities could approach this. Individual stock holdings would average 5%, going as high as 10% for high-quality holdings.

Unknown
WATCH

He likes this stock and thinks it is about to enter a period of seasonal strength, which begins in late-July typically. Once it breaks through the the bearish channel started back in mid-2017, it should be a good rally. He does not own any utilities at the moment since they saw the increase in interest rates coming. Now, he thinks interest rates will plateau soon. He prefers Fortis (FTS-T).

electrical / electronic
BUY

He does not own any utilities at the moment since they saw the increase in interest rates coming. Now, he thinks interest rates will plateau soon. This is a well- managed company. The technical outlook is demonstrating higher lows, so he thinks this is setting up well for a buy soon. The risk-reward is looking favourable. He sees support at $39.50 and a break above $43.80 would be a signal that $48 could be coming.

electrical utilities
BUY

The risk-reward is favourable. He sees support near $40 and would begin to build a position here between $40 and $46 and would add to it above that range.

oil / gas pipelines