Daily Chart Report ? Thursday, January 23rd, 2020
Sponsored By:
Today’s Summary
Thursday, January 23rd, 2020
Indices: US stocks were little changed in today’s session with the Dow Jones Industrial Average changing just 26 points or 0.09%. The S&P 500 and Nasdaq inched higher by 0.11% and 0.20%, respectively. The Russell 2000 was flat, changing just 0.03%.
Sectors: Industrials led, gaining 1.08%. Health Care lagged, falling 0.51%.
Commodities: Crude Oil futures moved lower by 0.68% to $55.70 per barrel. Gold futures inched up 0.23% to $1,562 per ounce.
Currencies: The US Dollar Index rose 0.16%.
Interest Rates: The US 10-year Treasury yield fell to 1.731%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Today’s Chart of the Day was shared on Twitter by Iossif Vodenitcharov (@iv_technicals). The chart shows the MSCI World Index over the past 50 years with black dots marking some of the worst global health epidemics during this period. The table on the left breaks down the one, three, and six month returns following each outbreak. There’s been a lot of concern this week over the coronavirus outbreak and how it will impact stocks. Some suggest that it will be the lynchpin in the bull market or at least cause a short-term sell-off. As you can see from the table, the average returns following these outbreaks are actually positive across all three time frames. The MSCI World Index gained 21.51% in the six months following the SARS outbreak in 2003, and nearly 40% in the six months following the Swine Flu outbreak in 2009. Perhaps this time will be different, but for now, the coronavirus appears to be just another brick in the wall of worry.
Quote of the Day
“In all affairs, it’s a healthy thing now and then to hang a question mark on the things you have long taken for granted.”
– Bertrand Russell (Philosopher & Mathematician)
Top Links
Small Caps Struggle in Record High Drought – LPL Financial Research
In this note, the team at LPL Financial Research weighs in on the Small Cap Russell 2000, and its inability to reach new all-time highs like the rest of the major averages.
EA Sports: It’s in the Game… – StockCharts.com
Julius de Kempenaer uses Relative Rotation Graphs (RRGs) to identify a stock that’s beginning to show relative strength, Electronic Arts ($EA).
Commodity Corner and Revealing Relative Strength – The Final Bar
In this edition of the Final Bar, David Keller examines the recent price action in Commodities and discusses the value of identifying stocks that are showing relative strength.
Solid January Starts Not Rate, February Could be Tepid – Almanac Trader
Seasonality expert, Jeff Hirsch says that while stocks are off to a good start in January, February could prove to be a headache for the bulls.
Getting Technical: How Amazon Will Join the Trillion Dollar Market Cap Club – Yahoo Finance
Brian Shannon of AlphaTrends.net breaks down the charts of two of the most beloved FAANG stocks, Amazon ($AMZN) and Netflix ($NFLX).
Top 10 Tweets
A repeat of 2007 seems unlikely because housing is now rallying and not leading the economy lower. pic.twitter.com/ckpDfuS7Ej
— Martin Pring (@martin_pring) January 23, 2020