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Today’s Summary
Tuesday, November 17th, 2020
Indices: US Stocks closed slightly lower in today’s session with the Dow Jones Industrial Average falling 167 points or 0.56%. The S&P 500 and Nasdaq slipped 0.48% and 0.21%, respectively. Small-Caps outperformed, with the Russell 2000 rising 0.37%.
Sectors: 9 of the 11 sectors closed lower. Energy led, rising 1.02%. Utilities lagged, falling 1.96%.
Commodities: Crude Oil futures inched higher by 0.22% to $41.43 per barrel. Gold futures inched lower by 0.14% to $1,885 per ounce.
Currencies: The US Dollar Index slipped 0.22%.
Interest Rates: The 10-year US Treasury yield fell to 0.857%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Is #Copper getting ready to breakout of a monster base? $HGVolSpot pic.twitter.com/K4SuzU0YA3
— Ian Culley (@IanCulley) November 17, 2020
Today’s Chart of the Day was shared on Twitter by Ian Cully (@IanCulley). It’s a weekly candlestick chart of Copper futures over the past decade. Ian points out that Copper is attempting to break out from a multi-year base with resistance around $3.30. Price has failed at this level three times in the past six years. Will the fourth time be the charm? As we know, Copper is often viewed as a proxy for global growth and risk appetite. If price breaks out here, it would be a bullish development for both U.S. and Emerging Market stocks.
Quote of the Day
“Behind every pessimist is a disappointed idealist.”
– George Carlin
Top Links
Can You Have Too Much of A Good Thing? – Andrew Thrasher
Andrew Thrasher explains that the recent breadth expansion could have bearish implications in the short-term.
November Conference Call: 5 Key Takeaways
Steve Strazza of All Star Charts highlights five key takeaways from their monthly conference call.
Fear Index Testing 18-Month Support, As The NYSE Tests Key Breakout Level! – Kimble Charting Solutions
Chris Kimble points out that the VIX and the NYSE index are simultaneously testing key levels.
The Next Bitcoin Target – The Rotation Report
With Bitcoin jumping to its highest level in three years today, Aaron Jackson says the next logical price target is around $20k.
Don’t Share This Chart – The Reformed Broker
Josh Brown shares a chart that illustrates why it’s often a good idea to ignore the narrative.
Top Tweets
We mentioned at the start of the month that November during an election year is usually strong.
We didn't quite expect it to be one of the best Novembers ever, but as of yesterday, it is the second best November for the S&P 500 ever. pic.twitter.com/so5JOvxSoz
— Ryan Detrick, CMT (@RyanDetrick) November 17, 2020
the $SPX hit new highs yesterday and the S&P advance/decline line hit new highs yesterday. this is not #bearish. pic.twitter.com/NWXXDwb1B8
— David Cox, CMT, CFA (@DavidCoxWG) November 17, 2020
Highest % of stocks above 200-day for small-caps since 2013. pic.twitter.com/drFKwX13VS
— Strategas (@StrategasRP) November 17, 2020
Don't mean to ruffle feathers with everyone gawking at where stocks & indexes are relative to 200-day averages, but here is a contrarian view of breadth:
Over the past three years nearly all net gains in $SPX have come when fewer than 61% of stocks were > 200-d avg. pic.twitter.com/ZgNSRN3Kxr
— Willie Delwiche, CMT, CFA (@WillieDelwiche) November 17, 2020
If you're worried about missing out on any alpha coming from Energy stocks, don't be. On a rel. basis, they're flat since late Sept. If this is going to be a multi-year, or even a multi-month trend, you've got plenty of time to wait for confirmation of a change in behavior. $XLE pic.twitter.com/G3ZVeEq2ak
— Ian McMillan, CMT (@the_chart_life) November 17, 2020
breakout working pic.twitter.com/SnUFN2a8Du
— KKern, TTB (@kkernttb) November 17, 2020
Traders are flowing east into Japan. Huge breakout to go with the largest QoQ GDP growth since Q4 1989. Just think if the dollar breaks down below the $92 support level… The party possibly hasn't even started; this would have only been the pre-game warm-ups.$EWJ $NIKKEI $NK_F pic.twitter.com/1wH1U57pYo
— Matthew Timpane, CMT (@mtimpane) November 17, 2020
#Bitcoin tops USD 17,000 five days after it broke USD 16,000 just 5 days ago. Will bitcoin make a new all-time high this year? pic.twitter.com/1ZYiTgt5WJ
— jeroen blokland (@jsblokland) November 17, 2020
You don't have to trade actual cryptocurrencies. The crypto "proxies" can work just fine. #bitcoin #cryptocurrency $RIOT $GLXY pic.twitter.com/tJyfqLUA8J
— Greg Rieben (@gregrieben) November 17, 2020
An interesting lockdown/reopening ratio, will support hold here as more and more countries are going into lockdown again or are the vaccines a thing? pic.twitter.com/Tm5HK2ucTv
— Grant Hawkridge (@granthawkridge) November 17, 2020