The S&P/TSX Composite endured a difficult week to Thursday’s close, falling 1.5 per cent. Despite the weakness, the benchmark remains in technically neutral territory according to Relative Strength Index (RSI). The current reading of 48 is close to the halfway point between the oversold buy signal of 30 and the overbought RSI sell signal of 70.
There are six oversold, technically attractive index members by RSI this week. Gran Tierra Energy Inc. is the most oversold company in the benchmark followed by Ensign Energy Services Inc., Blackberry Ltd., Maple Leaf Foods Inc., Saputo Inc., and Transalta Corp.
The list of overbought, technically vulnerable benchmark stocks is dominated by precious metals companies. Detour Gold is the most extended stock in the index, followed by Novagold Resources Inc., Westjet Airlines Ltd., Eldorado Gold Corp. and Ivanhoe Mines Ltd.
S&P/TSX Composite companies showing the strongest price momentum – those making new 52-week highs – are sorted by market capitalization below. Empire Co. Ltd. (A) is the biggest stock making new highs, followed by Ivanhoe Mines Ltd. (A), Novagold Resources Inc., Labrador iron Ore Royalty Co. and Eldorado Gold Corp.
The two index stocks making new 52-week lows are Gran Tierra Energy Inc. and ARC Resources Ltd.