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Todayâs Summary
Thursday, March 23rd, 2023
Indices: Nasdaq 100 +1.29% | S&P 500 +0.30% | Dow +0.23% | Russell 2000 -0.41%
Sectors: 2 of the 11 sectors closed higher. Technology led, gaining +1.63%. Energy lagged falling -1.39%.
Commodities: Crude Oil futures fell -1.33% to $69.96 per barrel. Gold futures jumped +2.37% to a new 52-week high of $1,996 per oz.
Currencies: The US Dollar Index ticked higher by just +0.05% to $102.59.
Crypto: Bitcoin rose +3.86% to an eight month high of $28,374. Ethereum gained +4.72% to a seven month high of $1,820.
Interest Rates: The US 10-year Treasury yield inched lower to 3.432%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
$SPXEW vs $SPX – lowest RSI reading in a decade after smashing the 200-day moving average.
Is Tech now the haven asset? pic.twitter.com/Pf3YiB9K4O
— Dan Russo, CMT (@DanRusso_CMT) March 23, 2023
Todayâs Chart of the Day was shared by Dan Russo (@DanRusso_CMT). The Equal Weight S&P 500 is on track for its second worst month relative to Cap Weight over the past two decades. Mega Cap Tech stocks like $AAPL, $MSFT, and $NVDA have been one of the few pockets of strength this month, while the majority of stocks are down. Dan points out that it’s almost as if Mega Cap Tech is acting like a safe haven. It’s obviously bullish for the largest stocks to go up on an absolute basis, but narrow leadership like this is not ideal. As legendary technician, Bob Farrell once said; “Markets are strongest when they are broad, and weakest when they narrow to a handful of blue-chip names.”
Quote of the Day
“Markets are strongest when they are broad and weakest when they narrow to a handful of blue-chip names.”
– Bob Farrell
Top Links
A Fed Day Like Most Others – Bespoke
Bespoke shows that yesterday’s choppy intraday price action was typical for a Fed day.
The One That Matters – All Star Charts
JC Parets points out that the Financial Sector ($XLF) is testing a crucial level.
Were There Technical Warnings Ahead of the Regional Banking Crash? Oh, Yeah! – StockCharts
Carl Swenlin highlights all of the technical warnings signs that existed prior to the crash in Regional Banks.
Stocks Aren’t Going Down…Why? – The Irrelevant Investor
Michael Batnick shares his thoughts on how the S&P 500 has been unfazed by the recent bank failures.
Top Tweets
Final heat map of the S&P 500's $SPY performance from today pic.twitter.com/3uyzOH7Xsp
— StockMKTNewz – Evan (@StockMKTNewz) March 23, 2023
This is the weirdest market I've ever seen….
Russell is about to break down
Nasdaq is about to break outGo figure this market đ pic.twitter.com/Sxy8ZB0Mk3
— Yuriy Matso (@yuriymatso) March 23, 2023
One of these is not like the others…$SPY $IWM $QQQ $DIA pic.twitter.com/Pehx9JDFXE
— Ian McMillan, CMT (@the_chart_life) March 23, 2023
The strength seen in $QQQ: $SPY on a relative basis while $QQQ has yet to make new highs on an absolute basis suggests the strength seen in $QQQ is defensive. pic.twitter.com/XUDXMdg2WT
— Stacey.A.Lee (@BBaxter2020) March 23, 2023
NASDAQ getting headlines for its YTD gains.
Beneath the surface, it's more new lows than new highs as breadth deteriorates. pic.twitter.com/87TK1ocAkX
— Willie Delwiche, CMT, CFA (@WillieDelwiche) March 23, 2023
Choose a catalyst… volatile global rates, the potential conclusion of the hiking cycle, a liquidity boost, flight to quality, or something else, Techâs 3-month relative price momentum is in extreme territory for the first signal since coming off the 2009 lows. pic.twitter.com/8T4dgYmsjm
— Todd Sohn (@Todd_Sohn) March 23, 2023
Russell 2000 is at a critical support area. A break lower would open the floodgates. Financials are 17% of the index compared to 11% for $SPX. $IWM is roughly 4% above the October lows. pic.twitter.com/Tlw238E0JE
— Jim Denholm, CMT (@denholm_jim) March 23, 2023
Some of the best information we get from laggards is when they lead to the downside, just like microcaps are doing now with these fresh multi-yr lows $IWC pic.twitter.com/RPLNfZyIPs
— Steven Strazza (@sstrazza) March 23, 2023
Yo, Charts – JPM is the Bell(wether) of the Ball and her makeup is smeared. pic.twitter.com/bpKPV2ZHxb
— da Chart Life (@daChartLife) March 23, 2023
$DXY i've had this line drawn at $103…
we're below it now… remember ALL risk assets have been inversely correlated with U.S. dollars… a falling dollar is #bullish (for everything else) pic.twitter.com/0axmClzQcv— David Cox, CMT, CFA (@DavidCoxRJ) March 23, 2023
Change of character… $GLD vs. $SPY pic.twitter.com/4VnQ1zhsoc
— Justin Spittler (@JSpitTrades) March 23, 2023
Sigh.$SI pic.twitter.com/jHBTdjUChB
— Arun S. Chopra CFA CMTđ§ (@FusionptCapital) March 23, 2023