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Todayās Summary
Monday, March 27th, 2023
Indices:Ā Russell 2000Ā +1.08%Ā |Ā DowĀ +0.60%Ā |Ā S&PĀ 500Ā +0.17%Ā |Ā Nasdaq 100Ā -0.74%
Sectors: 8 of the 11 sectors closed higher. Energy led, gainingĀ +2.13%. Technology lagged fallingĀ -0.77%.
Commodities: Crude Oil futures roseĀ +5.13%Ā toĀ $72.81 per barrel. Gold droppedĀ -1.51%Ā to $1,954 per oz.
Currencies: The US Dollar Index fellĀ -0.27%Ā to $102.84.
Crypto:Ā Bitcoin fellĀ -2.95%Ā toĀ $27,177. Ethereum droppedĀ -3.59%Ā toĀ $1,712.
Interest Rates: The US 10-year Treasury yield had its best day in six months, rising to 3.534%.
Here areĀ the best charts, articles, and ideas being shared on the web today!
Chart of the Day
$RSP vs. $SPX pic.twitter.com/7cpxMA7JMQ
— Larry Thompson (@HostileCharts) March 27, 2023
Todayās Chart of the Day was shared by Larry Thompson (@HostileCharts). It’s a ratio chart of the Equal Weight S&P 500 vs. the traditionalĀ Cap Weight S&P 500 (RSP/SPX). Breadth has become a concern in recent weeks, asĀ a handful of Mega Cap Tech stocksĀ have been doing most of the heavy lifting within the S&P 500. As a result, Equal Weight is on track for its second worst monthĀ relative to Cap Weight in the past 25-years. Larry points out that this ratio is currently testing a potential support level around 0.035%. As you can see, this level has been a key inflectionĀ point in recent years.Ā Bulls would welcome a bounce from this ratio, as it would represent broadening participation as opposed to the narrow Mega-Cap leadership we’ve had so far this month.
Quote of the Day
“Life is not a matter of holding good cards,
but sometimes, playing a poor hand well.”
– Jack London
Top Links
End of March Historically Weak Last 3 or 4 Days – Almanac Trader
Seasonality expert, Jeff Hirsch points out the final days of March have historically been weak.
Is Big Tech Back in the Drivers Seat? – Grindstone Intelligence
Austin Harrison examines the outlook for Large Cap Tech and Growth.
A Macro Overview of the Markets and the Banking Crisis – Against All Odds Research
In this video, Steve Strazza and Jason Boyd discuss the current market environment.
Short Interest Update – Bespoke
Bespoke takes a look at the performance of some of the most heavily shorted stocks in the Russell 3000.
Trendlines over Headlines: The Chop Fest Continues – The Chart Report
In our latest episode of Trendlines over Headlines, Frank Cappelleri of CappThesis joins us to share his perspective on the S&P 500, Financials, Yields, Gold, Crypto, and more!
Top Tweets
Final heat map of the S&P 500's $SPY performance from today pic.twitter.com/ClNoZv15Ei
— StockMKTNewz – Evan (@StockMKTNewz) March 27, 2023
Dunno if you've noticed, but the S&P 500 has closed between its 50-day and 200-day moving averages for six straight days now.
And in that period, the distance between the two lines has been no more than 2%.
Technicals matterš§ pic.twitter.com/qkodr2nY03
— Callie Cox (@callieabost) March 27, 2023
Here's historical drawdowns from all-time highs for the S&P 500's 200-day moving average. How would you describe the current one? pic.twitter.com/DnZvejKWau
— Bespoke (@bespokeinvest) March 27, 2023
After underperforming S&P 500 in 4Q22 by most since 2002, NASDAQ 100 is having best quarter vs. S&P 500 (thus far) since 1Q09
[Past performance is no guarantee of future results] pic.twitter.com/fPIZr7gPbj— Liz Ann Sonders (@LizAnnSonders) March 27, 2023
2023 Has Been Polar Opposite to 2022 ā¼ļø
Best and Worst Performing Sectors Through 3/27/22
– Energy, Utilities, Financials (best)
– Tech, Comm Svcs (worst)Best and Worst Performing Sectors Through 3/27/23
– Energy, Utilities, Financials (worst)
– Tech, Comm Svcs (best)
š pic.twitter.com/NltEoDTW76— Matt Cerminaro (@mattcerminaro) March 27, 2023
With the S&P 500 up two weeks in a row in the face of terrible news and the Nasdaq 100 at 7-month highs, think about this.
The most hated asset is US stocks, while cash is the most loved.
"If everybody is thinking alike, somebody isn't thinking." General Patton pic.twitter.com/M1IjvmKBB3
— Ryan Detrick, CMT (@RyanDetrick) March 26, 2023
$SPX: A key difference between a long-term uptrend and downtrend:
The # of weekly winning streaks.
2021: 11
2022: 5
2023: 3ā¦ pic.twitter.com/lLJ8lWoT5q— Frank Cappelleri (@FrankCappelleri) March 27, 2023
Some additional unrealized losses for banks that have not (fully) hedged their interest rate exposure.
2-year US Treasury #yield spikes 25 basis points. pic.twitter.com/bstlrDZ1LV— jeroen blokland (@jsblokland) March 27, 2023
Not exactly the most active market but the 5-year rate shows a failed breakdown. pic.twitter.com/kxB0aXMEYE
— Michael Kahn, CMT (@mnkahn) March 27, 2023
GE has doubled from its low. "There are no bad stocks only bad prices." pic.twitter.com/QGqrc4XjT7
— Eddy Elfenbein (@EddyElfenbein) March 27, 2023
there's a difference pic.twitter.com/XoEgUN5RgH
— J.C. Parets (@allstarcharts) March 27, 2023