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Today’s Summary
Wednesday, November 2nd, 2022
Indices: Dow -1.55% | S&P 500 -2.50% | Russell 2000 -3.36% | Nasdaq 100 -3.39%
Sectors: All 11 sectors closed lower. Utilities led but still fell -0.97%. Consumer Discretionary lagged dropping -3.78%.
Commodities: Crude Oil futures rose +1.84% to $90.00 per barrel. Gold futures were unchanged at $1,650 per ounce.
Currencies: The US Dollar Index rose +0.51%.
Crypto: Bitcoin fell -1.87% to $20,109. Ethereum dropped -4.36% to $1,509.
Interest Rates: The US 10-year Treasury yield rose to 4.105%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
The 200 day moving average doing what it does best.
Putting a lid on the price of the DJIA.$DIA pic.twitter.com/TumvH2Uuns
— Greg Rieben (@gregrieben) November 2, 2022
Today’s Chart of the Day was shared by Greg Rieben (@gregrieben). The Dow is off to a rough start in November after having its best October ever. It reclaimed its 200-day moving average on Friday, however, we closed solidly below it today after a nasty intraday reversal. Greg points out that this is the fifth time this year that the Dow has been rejected by its 200-day moving average. Was the Dow’s historic October just a brutal example of mean reversion within a downtrend?
Quote of the Day
“The market is smarter than I am so I bend.”
– Marty Zweig
Top Links
The Best and Worst Stocks Since Rate Hikes Began – Bespoke
Bespoke highlights the winning/losing stocks since the Fed began hiking rates.
Stock Market Analysis November 2 2022 – Brian Shannon
In this quick video, Brian Shanon examines today’s reversal and shares some levels to watch in the near term.
Is an ‘All-Clear’ Signal for Stocks Finally Ahead? – Schaeffer’s Investment Research
Rocky White looks at how the S&P 500 has historically performed after spending a long time beneath its 200-day moving average.
Is a 500% Rally in Yields, in 30-Months Enough? – Kimble Charting Solutions
Chris Kimble breaks down a long-term chart of the US 10-year Treasury yield.
Client First Tax & Wealth Advisors Announce New Adaptiv™ Select ETF (Ticker: ADPV); A Proprietary Actively Managed, Large Cap Stock Selection ETF – Yahoo Finance
Our friends at Adaptiv are launching a new momentum-based large-cap stock selection ETF. It’s expected to launch in the next few days under the ticker ADPV.
Top Tweets
Dow reverses nearly 1000 points pic.twitter.com/2izky7i4uj
— Mike Zaccardi, CFA, CMT (@MikeZaccardi) November 2, 2022
The Jerome call is called…the "JEROME WALL"…? pic.twitter.com/Jrz4kpPAMZ
— conradseric, CMT, CAIA, CEFA (@conradseric) November 2, 2022
The 2 hours after the #FOMC will get all the attention..
The 2 WEEKS after are what really matter. pic.twitter.com/T4KchqUdok
— Frank Cappelleri (@FrankCappelleri) November 2, 2022
The S&P 500 fell 2.5% today, its 54th decline of 1% or more this year. That's already the most downside volatility we've seen since 2009 and there's still two months to go. $SPX pic.twitter.com/6oU3qtLAOV
— Charlie Bilello (@charliebilello) November 2, 2022
$QQQ more pain vs $SPY pic.twitter.com/pl21oCm0U3
— David Rath (@DJwrath) November 2, 2022
Relative performance for FAAMG stocks went from a slow bleed to a cliff dive real quick. pic.twitter.com/g21ySCjfTO
— Andrew Thrasher, CMT (@AndrewThrasher) November 2, 2022
The one-year performance gap between the NASDAQ and DJIA, a rough proxy for Growth/Value, is at one of its most negative extremes on record. @NDR_Research pic.twitter.com/7LMSMxoZvW
— Rob Anderson (@rob_anderson314) November 2, 2022
$XLK – It's not about predicting the future, it's about defining risk.
$125 a pretty clear level to be short below or long above. pic.twitter.com/G6M2KYN48S
— Larry Thompson, CPA (@HostileCharts) November 2, 2022
Behavioral sentiment has not matched extreme pessimism seen in attitudinal metrics … monthly flows into equity funds (3m average shown) have still been relatively strong this year, only recently coming down to 0 line per @EPFR
@FT pic.twitter.com/tJQ5LjuzzG— Liz Ann Sonders (@LizAnnSonders) November 2, 2022
We asked Twitter users to describe the Fed in one word.
These were their answers. pic.twitter.com/fjvR7R845X
— Bespoke (@bespokeinvest) November 2, 2022
You’re all caught up now. Thanks for reading!