Daily Chart Report ? Thursday, July 30th, 2020
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Today’s Summary
Thursday, July 30th, 2020
Indices: US stocks were mostly lower in today’s session. The Dow Jones Industrial Average fell 226 points or 0.85%. The Nasdaq outperformed, rising 0.43%, while the S&P 500 slipped 0.38%. The Russell 2000 slipped 0.37%.
Sectors: 9 of the 11 sectors closed lower. Tech led, rising 0.56%. Energy lagged dropping 3.93%.
Commodities: Crude Oil futures fell 3.27% to $39.92 per barrel. Gold futures rose 0.69% to an all-time high of $1,967 per ounce.
Currencies: The US Dollar Index continued lower by 0.32%.
Interest Rates: The US 10-year Treasury yield fell to 0.546%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Today’s Chart of the Day was shared on Twitter by Brian Shannon (@alphatrends). With the height of earnings season upon us, Brian reminds us that trying to catch a falling knife often ends badly. Intel ($INTC) gapped lower by more than 13% at the open last Friday, after the company reported earnings the night before. It’s down another 6% so far this week. As Brian points out, the last two times Intel gapped lower after earnings like this, price went on to make another double-digit (%) leg lower over the following weeks. It’s easy for a novice trader to be tempted to “buy the dip” after an earnings gap like this. After all, you’re supposed to buy low and sell high, right? Well, as we know, markets tend to trend. What looks low often goes lower, and what looks high often goes higher.
Quote of the Day
“Have an opinion on what the market should do but don’t decide what the market will do.”
– Bernard Baruch
Top Links
S&P 500 Stronger Under the Surface – Bespoke
In this note, Bespoke breaks down some of the sector rotation trends over the past 10-days.
King Dollar is Testing Strong Support, Gold Bulls Hoping for a Trend Change – Kimble Charting Solutions
Chris Kimble explains that Gold could move higher if the US Dollar fails to hold above long-term support here.
Agricultural Commodity Trade Drought Continues – All Star Charts
Tom Bruni of All Star Charts takes a look at Agricultural Commodities.
Where Do We (Investors) Stand? – David Cox
In this video, Portfolio Manager, David Cox highlights some of the noteworthy technical developments going on across the markets.
August/September is Usually the Worst Consecutive Two-Month Period for Stocks – DeCarley Trading
Carley Garner discusses the potential for a pick-up in volatility over the next couple of months.
Top Tweets
You’re all caught up now. Thanks for reading!