The TSX Composite continues to range between 11200 and 12800, but 13-week Twiggs Money Flow oscillating above zero reflects long-term buying pressure. Breakout above 12500 would signal a primary advance, while follow-through above 12800 would confirm, offering a target of 14000*.
* Target calculation: 12500 + ( 12500 – 11000 ) = 14000
Colin Twiggs is a former investment banker with almost 40 years of experience in financial markets. He founded PVT Capital (AFSL number 546090), which provides income and growth strategies to wholesale clients.
Colin also co-founded Incredible Charts and writes the popular Patient Investor newsletter.
Using a top-down approach, Colin identifies macro trends in the global economy and then combines fundamental and technical analysis to evaluate opportunities in sectors that stand to benefit.
Focusing on interest rates and financial market liquidity as primary drivers of the economic cycle, he warned of the 2008/2009 and 2020 bear markets well ahead of actual events.