Daily Chart Report ? Tuesday, December 10th, 2019
Sponsored By:
Today’s Summary
Tuesday, December 10th, 2019
Indices: US stocks were slightly lower in today’s session, with the Dow Jones Industrial Average slipping 28 points or 0.10%. The S&P 500 and Nasdaq closed lower by just 0.11% and 0.07%, respectively. The Russell 2000 was the strongest of the major averages, managing a small gain of 0.13%.
Sectors: Health Care led, inching higher by 0.22%. Real Estate lagged, falling 0.70%.
Commodities: Crude Oil futures rose 0.51% to $59.21 per barrel. Gold futures inched higher by 0.22% to $1,468 per ounce.
Currencies: The US Dollar Index slipped 0.13%.
Interest Rates: The US 10-year Treasury moved higher to 1.836%.
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 Peter Alexander (@RelativeTrend). It’s a ratio chart of the Consumer Discretionary ETF, $XLY, relative to the Consumer Staples ETF, $XLP. This ratio is used to gauge the risk appetite of the broader market. When the line is going up, it means the Consumer Discretionary sector is outperforming the Consumer Staples sector and vice versa. Peter points out that the ratio isn’t sending a very bullish message to the broader market right now. After making a series of lower highs over the past year, the ratio is currently on the verge of breaking down and potentially making a lower low. It’s important to note that Amazon represents over 20% of $XLY. The stock’s lackluster performance, as of late, is likely weighing on $XLY. However, the ratio looks even worse when you look at the equal-weight version of it using the ETFs, $RCD/$RHS. This is one technological development right now that doesn’t favor the bull case for stocks.
Quote of the Day
Top Links
S&P 500 to Gold Ratio at Important Level – Fibonacci.com
Tarek Saab of Fibonacci.com examines the ratio charts of Stocks vs. Gold to see which asset class will outperform.
Make Plans for Wall Street’s only “Free Lunch” – Almanac Trader
Seasonality expert, Jeff Hirsch discusses the only “Free Lunch” on Wall Street. This is a phenomenon where stocks that have been beaten down due to year-end tax-loss selling tend to catch a bid during the first few weeks of the new year.
Tesla is a ‘Faith Stock’ According to Trader – CNBC
JC O’Hara of MKM Partners gives his technical take on the highly contested electric car maker, Tesla ($TSLA).
Interview with Jonathan Krinsky, CMT – The Final Bar
In this episode of The Final Bar, Host David Keller chats with Greg Schnell about using Keltner Channels and Jonathan Krinsky about the current market environment we’re in.
Asian Interest – Peter Brandt
Peter Brandt takes a look at the charts of two major Asian Equity indices, the Nikkei 225 and China’s A50 index.
Top 10 Tweets
You’re all caught up now. Thanks for reading!