Daily Chart Report ? Wednesday, November 18th, 2020
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Today’s Summary
Wednesday, November 18th, 2020
Indices: US Stocks closed lower in today's session with the Dow Jones Industrial Average falling 345 points or 1.16%. The S&P 500 also fell 1.16%, while the Nasdaq slipped 0.82%. The Russell 2000 underperformed, dropping 1.26%.
Sectors: All 11 sectors closed lower. Industrials led, but still slipped 0.45%. Energy lagged, dropping 2.91%.
Commodities: Crude Oil futures moved higher by 1.40% to $42.01 per barrel. Gold futures fell 0.59% to $1,874 per ounce.
Currencies: The US Dollar Index was more or less flat (0.03%).
Interest Rates: The 10-year US Treasury yield fell to 0.880%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Blue arrows when $vix <20 pic.twitter.com/tTzRkv2tBy
— Urban Carmel (@ukarlewitz) November 18, 2020
Today's Chart of the Day was shared on Twitter by Urban Carmel (@ukarlewitz). It's a chart of the S&P 500 over the past four years along with the Volatility Index (VIX) below. The VIX hasn't closed below 20 since February 21st. That's 189 consecutive trading days, which is by far the longest streak since the Financial Crisis (h/t @SentimenTrader). That streak is still alive with today's close of 23.84. As Urban points out, most of the S&P 500's gains in recent years have occurred when Volatility is in a range below 20. Perhaps we'll see Volatility get crushed in 2021 like the last two post-election years (2013 and 2017). Both of those years were a steady grind higher for the S&P 500 with very little downside volatility. But before we can even think about that, we need to see the VIX fall into a more 'normal' range below 20.
Quote of the Day
“Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria.”
– Sir John Templeton
Top Links
5 Noteworthy Charts To Watch as Stocks Soar - LPL Financial Research
The team at LPL Financial Research shares five charts that speak to the current market environment.
Stocks Flying Around the Globe - Bespoke
Bespoke examines how the S&P 500 is performing this month relative to other global equity markets.
These Semis Keep on Truckin' - All Star Charts
Sean McLaughlin outlines an options trade on a Semiconductor stock that's poised to move higher - KLA Corp, $KLAC.
Stock Market Video Analysis 11/18/20 - AlphaTrends
In this quick video, Brian Shannon analyzes recent price action in stocks and cryptocurrencies.
A Very Strong Stock in an Industry Just Breaking Out and Showing Leadership - StockCharts.com
Tom Bowly spotlights an Industrial stock that's breaking out - WillScot Corporation, $WSC.