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Today’s Summary
Monday, November 22nd, 2021
Indices: Dow +0.05% | S&P 500 -0.32% | Nasdaq -1.26% | Russell 2000 -0.50%
Sectors: 6 of the 11 sectors closed higher. Energy led, gaining 1.77%. Communications lagged, falling 1.22%.
Commodities: Crude Oil futures rose 0.72% to $76.49 per barrel. Gold futures tumbled 2.47% to $1,806 per ounce.
Currencies: The US Dollar Index rose 0.45% to a fresh 52-week high.
Interest Rates: The US 10-year Treasury yield moved higher to 1.629%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Today’s Chart of the Day was shared by Jonathan Harrier (@jonathanharrier). Small-Cap breadth has been pretty weak lately. As of Friday, more than 35% of Russell 2000 stocks had been down for at least three days in a row. Jonathan backtested how the Russell 2000 has historically performed following this sort of weakness. There have been 24 prior instances in the past five years. One month later, the Russell 2000 was higher 75% of the time, for an average gain of 3.63% and a median gain of 3.94%. Check out the full backtest results here.
Quote of the Day
“Those who dare to fail miserably can achieve greatly.”
– John F. Kennedy
Top Links
Trying to Understand the Bear Case – Means to a Trend
Austin Harrison considers the bear case for stocks.
No Case of the Mondays to be Found – Bespoke
Bespoke points out that Monday has been the strongest day of the week for the S&P 500 throughout the current bull market.
New All Time Highs – All Star Charts
JC Parets highlights some pockets of strength within the market, including Tech, Consumer Discretionary, and Homebuilders.
The Great Small Cap Lie – The Rotation Report
Aaron Jackson points out that Small-Caps still have a lot of work to do in terms of breadth.
The Trend is Your Friend – The Weekly Trend
In this podcast, David Zarling and Ian McMillan discuss several of the most important technical developments.
Top Tweets
It's Black Friday week, the mecca of shopping season for Americans.
So don't be too surprised when I tell you that S&P 500 retailers have outperformed the broader index during Black Friday week in 13 out of the past 14 years.
— Callie Cox (@callieabost) November 22, 2021
What the hell? https://t.co/vPPPomtJng pic.twitter.com/O9Lch4g57U
— Jim Carroll (@vixologist) November 22, 2021
The silver lining to the last hour sell-off: $VIX spiked above its upper BB. Has been decent ST $SPX buy signal recently. pic.twitter.com/fKoGMOFt5z
— Cam Hui, CFA (@HumbleStudent) November 22, 2021
If this were the only chart I used, I'd be a tad scared. $COMPQ #hindenburg pic.twitter.com/iAte1cTp4w
— Michael Kahn, CMT (@mnkahn) November 22, 2021
Nothing to see here? NASDAQ (blue) has continued to power higher, but % of members making new 52w lows (orange) has also spiked
[Past performance is no guarantee of future results] pic.twitter.com/ALqqYJd9Ww— Liz Ann Sonders (@LizAnnSonders) November 22, 2021
We waited almost 9 months for this thing to set new highs. It would be pretty sad if it failed to hold the breakout $IWM pic.twitter.com/dKOAm6LMNP
— Austin Harrison, CFA, CMT (@meanstoatrend) November 22, 2021
well, well, what do we have here?
the Value Line Geometric (average stock) breakout on the weekly chart just came back in below the breakout spot… let's keep watching this carefully for what happens next… pic.twitter.com/HKz0jpsSIk
— David Cox, CMT, CFA (@DavidCoxWG) November 22, 2021
Economically-sensitive home builders trying to nail down a breakout from a multiple-month consolidation box. $ITB $XHB pic.twitter.com/m0dJu9TMIH
— Chris Ciovacco (@CiovaccoCapital) November 22, 2021
aaand right on cue, the worst chart in the market fails again at the 5th or 6th clear lower-high in this downtrend #gold #GCF $GLD pic.twitter.com/jgcHZ65iRp
— Oliver Renick (@OJRenick) November 22, 2021
Bitcoin's rally this weekend stalled out right at its 50-day moving average. https://t.co/5mwo6rJ0Tv pic.twitter.com/9nelV185KQ
— Bespoke (@bespokeinvest) November 22, 2021
$BITO down 8 of the last 9 NYSE/Amex sessions. 19% peak to trough. #bitcoin pic.twitter.com/pq77FuxTkr
— Mike Zaccardi, CFA, CMT (@MikeZaccardi) November 22, 2021
great timing for listing the $ARKK inverse ETF $SARK
up 10% and never ticked lower than open price pic.twitter.com/vQbaYsr1xW— Brian Shannon, CMT (@alphatrends) November 22, 2021
On this day in 1963 JFK was tragically assassinated.
The S&P 500 fell 2.8%.
What happened next is likely one of the most surprising events in market history.
It jumped 4% the following day and the next six months were one of the least volatile and strongest in history. pic.twitter.com/GDeDPOlDzV
— Ryan Detrick, CMT (@RyanDetrick) November 22, 2021
You’re all caught up now. Thanks for reading!