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Today’s Summary
Tuesday, August 17th, 2021
Indices: US Stocks closed lower in today’s session, with the Dow falling 282 points or 0.79%. The S&P 500 and Nasdaq closed lower by 0.71% and 0.93%, respectively. The Russell 2000 underperformed for the fourth consecutive day, dropping 1.19%.
Sectors: 4 of the 11 sectors closed higher. Health Care led, gaining 1.18%. Consumer Discretionary lagged, dropping 2.37%.
Commodities: Crude Oil futures fell 1.04% to $66.59 per barrel. Gold futures inched lower by 0.11% to $1,788 per ounce.
Currencies: The US Dollar Index rose 0.56% to a four-month high.
Interest Rates: The 10-year US Treasury yield inched lower to 1.267%.
are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
199 trading days since last 5% correction in SPX, longest since 2017-18 and 15th-longest since 1928.
Temptation is to say we're "overdue" and seasonals support the case, but perhaps a bigger takeaway is
11 of previous 14 were in secular bulls. #trendisyourfriend @NDR_Research pic.twitter.com/mppqf1VPrJ— Ed Clissold (@edclissold) August 17, 2021
Today’s Chart of the Day was shared by Ed Clissold (@edclissold). The S&P 500 hasn’t had a pullback of 5% or more all year, which is unusual given that the average year sees about three. Not to mention, the index hasn’t had a correction of 10% more (on a closing basis) since the March 2020 lows. To be more exact, Ed points out that it has been 200 days since the last 5% pullback, which is the longest stretch since 2017, and the 15th longest stretch since 1928. The good news is that a majority of those stretches took place within secular bull markets. In other words, the S&P 500 is seemingly overdue for a pullback by most historical measures, but any potential weakness could prove to be a buying opportunity within a longer-term bull market.
Quote of the Day
“There is a magic in graphs. The profile of a curve reveals in a flash a whole situation — the life history of an epidemic, a panic, or an era of prosperity. The curve informs the mind, awakens the imagination, convinces.”
– Henry Hubbard
Top Links
Jason Goepfert points out that the NYSE Cumulative Advance/Decline Line hasn’t made a new high in two months.
In this clip, Jonathan Krinsky offers his thoughts on the current market environment.Is The Emerging Markets ETF (EEM) About To Sink 12 Percent? – Kimble Charting Solutions
Chris Kimble shows that the Emerging Markets ETF, $EEM, is breaking a key long-term support level.
Which Symbols Hold the Key to the Next Market Run? – StockCharts
Mish Schneider takes a look at some of the most important industry groups in the market.
New 8-month Lows for Nasdaq A-D Line – All Star Charts
JC Parets shares his take on market breadth.
Top Tweets
At close: ??? pic.twitter.com/TqArwvwRIq
— unusual_whales (@unusual_whales) August 17, 2021
$SPY dip buyers making a go of it in the last few minutes today, but not quite the same energy as yesterday.
All the same, the bulls are putting on a good show here as we wrap up yet another fantastic day of trading.
— K-A Shepard (@JackDamn) August 17, 2021
$SPX made it’s 49th record high so far in 2021 yesterday. That also means it’s pulled back 49 times after new highs… having some extra cash and a strong potential buy list helps. pic.twitter.com/D694UcqgGi
— Larry Tentarelli, Blue Chip Daily (@LMT978) August 17, 2021
If the markets feel humdrum, or a bit boxed in, that's because they are: With only large-cap growth stocks leading the market higher since May (until recently), most of the style boxes have been boxed in since earlier this year. pic.twitter.com/C910LzVJTd
— Jurrien Timmer (@TimmerFidelity) August 17, 2021
$RUT is the closest it's been to the 200 day since it took off last September.
Today makes 4 straight lower. pic.twitter.com/052YfF4MK3— Tom Hearden (@followtheh) August 17, 2021
Micro Caps are down nearly 12% from their March high, sitting at the low-end of the multi-month range and just above the 200-day MA.$IWC pic.twitter.com/RYrZw95sIH
— Andrew Thrasher, CMT (@AndrewThrasher) August 17, 2021
Tiny hats. No bueno. $IWM $IWC $SPX pic.twitter.com/LZKQ5eYTuD
— Ian McMillan, CMT (@the_chart_life) August 17, 2021
Risk off perking up this week. Staples, utilities, healthcare outperforming, and the dollar looking to break out of a year-long bottoming pattern. $DXY pic.twitter.com/Lt3h3wNNSL
— Michael Turvey (@MikeTurvey_TDA) August 17, 2021
The U.S. Dollar $USDX is attempting to completed a bottoming pattern on daily chart near lower end of a massive 7-year trading range. pic.twitter.com/iBB0rU1vtp
— Peter Brandt (@PeterLBrandt) August 17, 2021
For me, if the ratio b/w Bitcoin and the S&P500 is above 7.0 and you’re not long crypto in one capacity or another, then it’s the equivalent of being short the space. I believe you’re leaving that much alpha on the table. You do what you want, but above 7.0 and we HAVE to be long pic.twitter.com/IFpBc1gbTY
— J.C. Parets (@allstarcharts) August 17, 2021
Top 10 largest cryptos for each of the past 4 years. pic.twitter.com/kVhUW8rnhb
— Brian G (@alphacharts) August 17, 2021
Somebody call a doctor #copper pic.twitter.com/tvxWlMe5MW
— Michael Kahn, CMT (@mnkahn) August 17, 2021
The S&P 500 Index is now up just 99% from its March 2020 low! pic.twitter.com/y7zXRLdbCT
— jeroen blokland (@jsblokland) August 17, 2021
You’re all caught up now. Thanks for reading!