Another illuminating chart from my partner Cory Venable here offers a look at where cyclical support may lie for the Canadian stock market (TSX) in coming months. The support band (in pink) manufactured by successive QE programs rolled out by central banks in 2010, 2011 and 2012, may prove an optical illusion as higher rates and Quantitative Tightening (QT) are now in effect. The 8500-9500 (green band) may be a more realistic downside test as this cycle mean-reverts.
