Daily Chart Report ? Monday, September 27th, 2021
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Today’s Summary
Monday, September 27th, 2021
Indices: US Stocks were a mixed bag in today’s session. The Dow rose 71 points or 0.21%. The S&P 500 and Nasdaq fell 0.28% and 0.52%, respectively. The Russell 2000 outperformed by a decent margin, gaining 1.46%.
Sectors: 5 of the 11 sectors closed higher. Energy led by a wide margin, rising 3.56%. Real Estate lagged, falling 1.66%.
Commodities: Crude Oil futures continued higher by 1.99% to $75.45 per barrel. Gold futures were unchanged and continue to trade at $1,752 per ounce.
Currencies: The US Dollar Index rose 0.14%.
Interest Rates: The 10-year US Treasury yield continued higher to 1.491%.
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 Ryan Detrick (@RyanDetrick). It’s a weekly candlestick of the Russell 2000 ETF, $IWM, over the past three years. Small-Caps kicked off the week on a strong note today, with the Russell 2000 outperforming the Nasdaq by the widest margin in six months. As you can see, the Russell 2000 has been stuck in a well-defined range for the majority of this year. Prior to this consolidation phase, it had been sprinting higher for nearly a year, so this pause could be viewed as healthy in the grand scheme of things. If price does eventually break out, it has the potential to make another meaningful leg higher given that it has built a six-month base to launch from. You know what they say about big bases….the bigger the base, the higher in space! As Ryan notes, Small-Caps could be setting up for an impressive end-of-year rally, similar to what we saw after the US election last year. But without getting ahead of ourselves, the Russell 2000 needs to break out of this range first. It certainly doesn’t hurt that seasonality becomes a tailwind in a couple of weeks.
Quote of the Day
“Interest has been so low for so long a time that to many people a rising rate produces a sort of alarm, and it is natural to expect a considerable lapse of time before this will disappear under the new conditions.”
(July 24, 1899)
– Charles H. Dow
Top Links
If Small Caps are Going to Break the Range, the Time is Now – Potomac Fund Management
Dan Russo highlights the most important technical developments to watch this week.
Bonds Throw a Tantrum and Banks Cheer – Trend Investor Pro
Arthur Hill takes a look at the relationship between Treasury yields and Bank stocks.
Natural Gas Prices Heating Up, Breakout Would Bring Major Pain! – See it Market
Chris Kimble examines the recent surge in Nat Gas prices.
Energy Equity Analysis – TT Trading
Troy Trentham explains why he thinks the Energy sector will continue higher.
Why Gold Remains Bearish – StockCharts
David Keller points out that the outlook for Gold continues to look dull.
Top Tweets
You’re all caught up now. Thanks for reading!