Daily Chart Report ? Monday, August 26th, 2019
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Today’s Summary
Monday, August 24th, 2019
Indices: US stocks kicked off the week on a positive note with the Dow Jones Industrial Average jumping 270 points or 1.05%. The Nasdaq was the strongest of the major indices, gaining 1.32%.
Sectors: All 11 sectors closed higher. Communications led, advancing 1.50%. Materials lagged but still gained 0.33%.
Commodities: Crude Oil futures slipped 0.98% to $53.63 per barrel. Gold futures closed more or less flat and continue to trade around $1,537 per ounce.
Currencies: The US Dollar Index rose 0.41%.
Interest Rates: The US 10-year Treasury yield moved higher to 1.538%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Today’s Chart of the Day was shared on Twitter by John Palicka (@John_Palicka). It’s a chart comparing the performance of the Gold ETF ($GLD) to the Gold Mining ETF ($GDX) since 2006. The chart addresses a common question among Precious Metals bulls right now: which will outperform, Gold or Miners? John points out that when Gold is breaking out, Miners tend to outperform in the short-term because they are leveraged to Gold. however, over the long-term, Miners have operational inefficiencies that come in to play and they end up underperforming Gold. So far in 2019, Gold is up nearly 19% while Miners are up twice as much (40%). It’ll be interesting to keep an eye on the relationship between these two ETFs to see which is a better way to play a rally in Precious Metals over the long-term.
Quote of The Day
Top Links
Podcast with Denise Shull, Performance Coach and Founder of the ReThink Group – Technical Analysis Radio
Here’s the latest podcast from Technical Analysis Radio featuring Denise Shull. She’s rumored to be the inspiration behind the character of Wendy Rhodes from the Showtime series Billions. In the podcast, she discusses human behavior as it relates to markets.
Gold Price Momentum Could Push to $1,700 – Kitco News
In this video, Todd Gordon of Trading Analysis.com uses Elliot Wave Analysis to explain why he thinks Gold is heading to $1,700 per ounce.
What Copper’s Really Saying About Stocks – Schaeffer’s Investment Research
This piece from Schaeffer’s Investment Research examines the relationship between Copper prices and the S&P 500. They argue that Equities can still do well in an environment where Copper is falling.
A Stable Stock in an Unstable Market – StockCharts.com
Arthur Hill of StockCharts.com points out that Merck ($MRK) has been steadily moving higher despite the choppy environment that stocks have been in.
Does the Yield Curve Signal a Recession in 2020? – Cheddar
Chris Verrone of Strategas Research Partners weighs in on the yield curve and lays out some of the other technical indicators he’s watching.
Top 10 Tweets
You’re all caught up now. Thanks for reading!