Daily Chart Report ? Wednesday, May 26th, 2021

Today’s Summary
Wednesday, May 26th, 2021

Indices: US Stocks moved higher in today's session. The Dow was more or less flat, changing just 11 points or 0.03%. The S&P 500 and Nasdaq rose 0.19% and 0.59%, respectively. The Russell 2000 outperformed by a wide margin, gaining 1.97%.

Sectors: 8 of the 11 sectors closed higher. Consumer Discretionary led, rising 0.95%. Health Care lagged, falling 0.58%.

Commodities: Crude Oil futures rose 0.21% to $66.21 per barrel. Gold futures inched higher 0.17% to $1,901 per ounce.

Currencies: The US Dollar Index gained 0.42%.

Interest Rates: The 10-year US Treasury yield rose to 1.583%.

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 by Brian Shannon (@alphatrends). It's a 2-hour candlestick chart of Ethereum ($ETHUSD). Brian reminds us that trying to catch a falling knife often ends in pain. Ethereum peaked around $4,330 on May 11th before tumbling as much as 60% in less than two weeks' time. As of writing, Ethereum has viciously rebounded about 60% from the low just three days ago. For short-term traders, this sort of volatility is a dream. But to the new class of hodlrs out there, this is a lesson in the law of percentages. Brian points out that the VWAP (Volume Weighted Average Price) from the peak is lurking slightly above price right now. In other words,  there is potential overhead supply waiting to meet eager dip buyers. As we mentioned last week, Cryptocurrencies live and die by momentum. Once that momentum is gone, the script flips from "Buy the Dips" to "Sell the Rips."

Quote of the Day

"Successful tape reading is a study of force; it requires the ability to judge which side has the greatest pulling power and one must have the courage to go with that side." 

– Richard Wyckoff