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Today’s Summary
Friday, October 16th, 2020
Indices: US Stocks were mixed in today’s session. The Dow Jones Industrial Average closed higher by 112 points or 0.39%. The S&P 500 was flat (0.01%), while the Nasdaq slipped 0.36%. The Russell 2000 moved lower by 0.31%.
Sectors: Utilities led, gaining 1.07%. Energy lagged, falling 2.27%.
Commodities: Crude Oil futures rose 0.39% to $41.12 per barrel. Gold futures slipped 0.13% to $1,906 per ounce.
Currencies: The US Dollar Index inched lower by 0.06%.
Interest Rates: The 10-year US Treasury yield moved higher to 0.752%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Nasdaq RSI momentum still positive. If we push for new highs, will be watching for possible divergence. $SPY $IWM $QQQ pic.twitter.com/O7YLWn2irl
— Rolando Santos ? (@TKPTrader) October 16, 2020
Today’s Chart of the Day was shared on Twitter by Rolando Santos (@TKPTrader). It’s a daily candlestick chart of the Nasdaq 100 ETF, $QQQ, over the past year. Rolando offers us a unique way of visualizing momentum. The color of the candlesticks correspond with the current RSI reading. When the candles are white, like they are right now, it means momentum is in a bullish range (RSI above 50). On the other hand, Red candles mean momentum is in a bearish range (RSI below 50). Imagine if you were only long when RSI was in a bullish range above 50, and sold once it fell below. You would’ve been in the market during the strongest periods and out of the market during the weakest periods.
Quote of the Day
“Music always sounds better on Fridays.”
– Lou Brutus
Top Links
5 Charts We’re Watching – LPL Financial Research
The team at LPL Financial shares five interesting charts that help make sense of the current market environment.
Once Again, Investment Managers Very Optimistic, Retail Less So But Bullish Enough – Hedgopia
Hedgopia examines the most recent sentiment surveys.
Where Do We (Investors) Stand – David Cox
In this video, David Cox highlights the most important technical developments to be aware of.
Healthcare Providers Lead XLV Higher – StockCharts.com
Legendary technician, John Murphy offers his perspective on the Health Care sector.
Innovating New Leadership – All Star Charts
Steve Strazza takes a look at a popular ETF that tracks innovative technology stocks – the Ark Next Generation Internet ETF, $ARKW.
Top Tweets
Remember when the Nasdaq-100 made a new ATH in early June?
+23% from the February ‘20 high.$QQQ $XLK
— Shane C. Murphy (@murphycharts) October 16, 2020
Weekly $SPX update: small gains for an indecisive week. Sitting comfortably above the linear regression line but might see more back and forth until the election. 12 trading days to go. pic.twitter.com/8ROHycD20M
— Michael Turvey (@MikeTurvey_TDA) October 16, 2020
The last week has been mixed for S&P 500 sectors. Six down and five up. https://t.co/seIQejpaBV pic.twitter.com/5p1IkTu5rx
— Bespoke (@bespokeinvest) October 16, 2020
3 weeks ago, large speculators were net short about $47 billion worth of equity index futures.
As of Tuesday, they're net *long* about $25 billion worth.
That $72 billion swing is…large. pic.twitter.com/rN1uUSjkFV
— SentimenTrader (@sentimentrader) October 16, 2020
Despite the healthcare sector being a choppy relative mess vs the $SPX over the last few years, the avg healthcare stock has been quietly outperforming the cap weighted sector under the noise. Opportunities there but you have to put the work in! $RYH $XLV $SPY pic.twitter.com/Mvy0w7Vcuw
— Drew Wells, CMT, CIMA® (@DrewTheCharts) October 16, 2020
9 years building a base… $PBW / $SPX now at an important level… $WKHS $NIO $BLNK $PLUG $RUN pic.twitter.com/BI9CepMtkj
— Grant Hawkridge (@granthawkridge) October 16, 2020
In the middle of a pandemic, retail sales are crushing estimates and $XRT (SPDR S&P Retail ETF) has more than doubled since March, up about 20% in 2020 pic.twitter.com/OFfz3LGS8R
— Sarah Ponczek (@SarahPonczek) October 16, 2020
I know not many people pay attention to the ag market and certainly not cotton but… this has been a sight to see. pic.twitter.com/nDWPw1fhnf
— Jason (@JasonPerz138) October 16, 2020
$SPCE Shorts getting squeeeeezed. pic.twitter.com/t19sUHCwaq
— Greg Rieben (@gregrieben) October 16, 2020
Please ted cruz, tell us more about how twitter is ruining the world $TWTR pic.twitter.com/3FyLY9oGHD
— ATMbiotechCharts (@ATMcharts) October 16, 2020
Zoom is now bigger than ExxonMobil $ZM $XOM @chigrl @aeberman12 @ZmansEnrgyBrain @Stocktwits @TheChartReport @seeitmarket @zerohedge @KoyfinCharts pic.twitter.com/VEidWnz6IV
— Mike Zaccardi, CFA, CMT (@MikeZaccardi) October 16, 2020