Daily Chart Report ? Tuesday, October 27th, 2020
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Today’s Summary
Tuesday, October 27th, 2020
Indices: US Stocks were mostly lower in today’s session. The Dow Jones Industrial Average fell 222 points or 0.80%. The S&P 500 slipped 0.30%, while the Nasdaq rose 0.64%. Small-Caps underperformed, with the Russell 2000 dropping 0.90%.
Sectors: 9 of the 11 sectors closed lower. Communications led, gaining 0.64%. Industrials lagged, dropping 2.19%.
Commodities: Crude Oil futures moved higher by 2.62% to $39.57 per barrel. Gold futures rose 0.33% to $1,912 per ounce.
Currencies: The US Dollar Index was flat.
Interest Rates: The 10-year US Treasury yield fell for the third straight day to 0.768%.
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 Jeroen Blokland (@jsblokland). It’s a chart of Bitcoin over the past three years. The crypto crowd has been crawling out of their parents’ basement over the past few weeks as Bitcoin breaks above levels not seen in years. Not surprisingly, everyone is looking for a macro narrative or reason to explain this move. However, us chart watchers don’t really care about why price is behaving the way it is. The only reason Bitcoin has our attention right now is that price is breaking out of a multi-year base within a long-term uptrend. That’s it! It is really that simple. With Bitcoin currently trading firmly above the $13k level, a retest of the 2017 highs around $19-20k within the coming months is a real possibility.
Quote of the Day
“Bitcoin is like anything else: it’s worth what people are willing to pay for it.”
– Stanley Druckenmiller
Top Links
The Long View in Crypto’s Big 2 – The Rotation Report
Aaron Jackson breaks down his outlook on Bitcoin and Ethereum.
Relative Reversals – Bespoke
Bespoke takes a look at some of the recent changes in sector trends.
Opportunity in Software! – Chaikin Analytics
Dan Russo of Chaikin Analytics shares his thoughts on Software stocks after the group sold-off hard yesterday.
Betting on the Banks – CNBC
In this clip from CNBC, Chris Verrone of Strategas Research offers his technical perspective on Interest Rates and Regional Banks.
My Interview With Jack Schwager – Author of Market Wizards – Technical Analysis Radio
Here’s a good conversation with the Author of Market Wizards, Jack Schwager, and JC Parets. They discuss the traits that most successful traders have in common.
Top Tweets
You’re all caught up now. Thanks for reading!