Daily Chart Report ? Tuesday, December 15th, 2020
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Today’s Summary
Tuesday, December 15th, 2020
Indices: US Stocks closed higher in today’s session with the Dow Jones Industrial Average gaining 338 points or 1.13%. The S&P 500 and Nasdaq rose 1.29% and 1.25%, respectively. Small-Caps outperformed with the Russell 2000 closing up 2.40%.
Sectors: All 11 sectors closed higher. Energy led, gaining 1.97%. Consumer Staples lagged but still inched higher by 0.24%.
Commodities: Crude Oil futures moved higher by 1.34% to $47.62 per barrel. Gold futures rose 1.27% $1,855 per ounce.
Currencies: The US Dollar Index dropped 0.26% hitting a new 2-year low.
Interest Rates: The 10-year US Treasury yield moved higher to 0.913%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Today’s Chart of the Day was shared on Twitter by JC Parets (@allstarcharts). The chart shows the two most important stocks in the market right now – Apple ($AAPL) and Amazon ($AMZN). These two combined represent more than 20% of the Nasdaq and more than 10% of the S&P 500. These Mega-Cap darlings have spent the last three months consolidating in a sideways fashion as they digest their Summer gains. Luckily for the bulls, Small-Caps and other areas of the market have picked up the slack in a major way, allowing the broader market to continue chugging higher. As we know, consolidations like these typically resolve in the direction of the underlying trend, which in this case is higher. If they break lower instead, it would be a big red flag that a potential trend change is underway. After a long Summer of partying, and three months of a euphoria induced coma, will these two sleeping giants finally wake up? Stay tuned!
Quote of the Day
“Contrary to conventional wisdom, the best stocks rarely sell at low P/Es. Just as the best ballplayers make the highest salaries, the better companies sell at higher P/Es.”
– William O’Neil
Top Links
Decision Time for Mega-Caps – All Star Charts
This one goes along with today’s Chart of the Day. JC Parets explains that several Mega-Cap stocks are at key inflection points.
4 More Years of Dollar Weakness? – LPL Financial Research
The team at LPL Financial Research takes a look at the long-term cycles in the US Dollar Index.
VIX Run Above 20 Tops 200 Days – Bespoke
Bespoke points out that the VIX has been above 20 for 207 consecutive days now.
Tuesday Top Three – Jotting on Charts
Grant Hawkridge shares three noteworthy charts to keep an eye on.
New Highs Look Imminent in Bitcoin – AlphaTrends.net
In this video, Brian Shannon offers his technical perspective on the major Cryptocurrencies.