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Today’s Summary
Wednesday, August 18th, 2021
Indices: US Stocks closed lower in today’s session, with the Dow dropping 383 points or 1.08%. The S&P 500 and Nasdaq fell 1.07% and 0.89%, respectively. The Russell 2000 managed to outperform, but still closed lower by 0.84%.
Sectors: 10 of the 11 sectors closed lower. Consumer Discretionary was the only sector to close higher, rising 0.36%. Energy lagged, dropping 2.08%.
Commodities: Crude Oil futures moved lower for the fifth straight day, falling 2.07% to $65.21 per barrel. Gold futures inched lower by 0.19% to $1,784 per ounce.
Currencies: The US Dollar Index ticked higher by just 0.02% to a four-month high.
Interest Rates: The 10-year US Treasury yield continued lower to 1.262%.
are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Copper not doing bullish things here: pic.twitter.com/pZaWKcg8MX
— Willie Delwiche (@WillieDelwiche) August 18, 2021
Today’s Chart of the Day was shared by Willie Delwiche (@WillieDelwiche). It’s a daily candlestick chart of Copper futures over the past three years. Copper fell to a four-month low in today’s session, around $4.12 per pound. Price was in a strong uptrend between March 2020 and May of this year, surging more than 100% in that time. However, it began breaking down in June, and it has continued to trend lower ever since. Due to the metal’s numerous industrial uses, Copper often acts as a leading indicator for global economic growth and the stock market. Of course, this is just one data point to consider. But, seeing Copper hit fresh four-month lows like this doesn’t exactly inspire confidence in the bull case.
Quote of the Day
“Those men who needed their wives’ permission to trade outperformed the single guys. Unfortunately, those women who needed their husband’s permission to trade underperformed the single women.”
– James Montier
Top Links
Cyclicals and Small-Caps May ‘Start to Outperform’: Strategist – Yahoo Finance
Ryan Detrick of LPL Financial Research shares his perspective on the current market environment.
Is the Small Cap Russell 2000 Index Rolling Over? – Kimble Charting Solutions
Chris Kimble takes a look at a long-term monthly chart of the Russell 2000.
Two of The Best-Performing S&P 500 Stocks Since March 2020 Lows Have More Upside, Traders Say – CNBC
JC O’Hara and Quint Tatro offer some of their favorite stock picks.
Stock Market Analysis August 18 2021 – Brian Shannon
In this quick video, Brian Shannon highlights some key levels to watch in the remainder of the week.
If You’re Not Long, You’re Short – All Star Charts
JC Parets explains why Bitcoin is poised to outperform Stocks.
Top Tweets
Today is the 1-year anniversary of the S&P 500’s first record since COVID began.
People (incl. me) were shocked that stocks rebounded so quickly.
And the S&P 500 has risen more than 30% since then.
— Callie Cox (@callieabost) August 18, 2021
S&P 500 Index 2% of its high, biggest drawdown this year is 4%. pic.twitter.com/odUm05MY9X
— jeroen blokland (@jsblokland) August 18, 2021
$SPY $SPX $QQQ $DIA $IWM
How the landscape can change in the space of 48hrs…. like everyone else, I of course hope "buy the dip" kicks in…. be aware though… sometimes it doesn't.https://t.co/I1gTYxEBzW pic.twitter.com/Y2yRQYLivh— Sam McCallum (@honeystocks1) August 18, 2021
Market about as oversold as on Jul 19. Reversal was immediately preceded by 84%/88% downside days & immediately followed by 89%/83% upside days. Have just had 74%/71% downside days, so what market does in next few days will show us how strong underlying trend is vs. a month ago. pic.twitter.com/lq45wCcmDS
— Walter Deemer (@WalterDeemer) August 18, 2021
$XLE all components of the energy sector are below their 50MA, and all but 2 have an rsi below 50. pic.twitter.com/puMJpwjyg4
— Bailey.Baxter2020 (@BBaxter2020) August 18, 2021
Looks like Crude Oil could lose a critical level of former resistance turned support near 66. $CL_F pic.twitter.com/BYaHDmVcFd
— Ian Culley (@IanCulley) August 18, 2021
$UUP ready? pic.twitter.com/LJbIQBZqDN
— Mike Zaccardi, CFA, CMT (@MikeZaccardi) August 18, 2021
$DXY Trying… #FX pic.twitter.com/pPjOC4mrtE
— Aksel Kibar, CMT (@TechCharts) August 18, 2021
$DXY
A balloon on the ceiling waiting for an open window. pic.twitter.com/7tPonDZ0GU— Chris Carolan $=1/∞ (@spiralcal) August 18, 2021
markets are hard pic.twitter.com/M5QTPIAYf0
— Ian McMillan, CMT (@the_chart_life) August 18, 2021
55 of the 55 analyst that cover $AMZN have a "buy rating" on it … complete agreement on a stock that is a) trading below its 200-day average; b) a regular guest on our daily relative low list; and c) hasn't made any price progress in 13 months — hmmmm. @StrategasRP
— Chris Verrone (@verrone_chris) August 18, 2021
You’re all caught up now. Thanks for reading!