Daily Chart Report ? Monday, May 23rd, 2022
Sponsored By:
Today’s Summary
Monday, May 23rd, 2022
Indices: Dow +1.98% | S&P 500 +1.86% | Nasdaq 100 +1.68% | Russell 2000 +1.10%
Sectors: All 11 sectors closed higher. Financials led, gaining +3.25%. Consumer Discretionary lagged but still rose +0.75%.
Commodities: Crude Oil futures were flat and continue to trade at $110.29 per barrel. Gold futures rose +0.31% to $1,848 per ounce.
Currencies: The US Dollar Index dropped -0.91%.
Crypto: Bitcoin dropped -3.66% to $29,143. Ethereum fell -3.30% to $1,972.
Interest Rates: The US 10-year Treasury yield rose to 2.855%.
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 Mark Ungewitter (@mark_ungewitter). Bernard Baruch once famously said "Don't try to buy at the bottom and sell at the top. It can't be done except by liars." If you're a trend follower, you're always going to be late at the bottom and the top. After all, it's the meaty part of the trend that you're after. Mark shares an interesting signal that has historically marked the start of a new advance after a meaningful decline. The indicator in the lower panel shows the spread between the 20-day and 200-day exponential moving averages. The "all clear" signal comes when the spread moves from -2.5% to +2.5%. The spread is still deeply negative by -6.6%, so the coast is not clear yet. When it eventually gets back to +2.5%, you'll definitely be a little late to the rally, but it's probably safer than trying to catch a falling knife.
Quote of the Day
"It's better to be late and right
than it is to be early and wrong."
- Brian Shannon
Top Links
What Happens After A Bear Market Starts? Four Things to Know - LPL Financial Research
Ryan Detrick shares some insightful stats about bear markets.
Searching for Stabilization Amid Volatile Market - Means to a Trend
Austin Harrison lays out a few things to watch for a potential bottom in Stocks.
Are US Dollar, Euro About to Upend Financial Markets? - Kimble Charting Solutions
Chris Kimble points out that the US Dollar Index and the Euro are both flirting with critical levels.
Down 20% = Bear Market is Stupid - All Star Charts
JC Parets explains why a 20% decline in the S&P 500 is a silly way to define a bear market.
Dow's Ominous 8-Week Losing Streak - Almanac Trader
Jeff Hirsch looks at the recent losing streaks in the major indices.
Top Tweets
and for those who want to see the reliability of the 200 WMA on $IWM it's the same as everything else, depends on whether it's a correction or a secular bear (or say Covid type crash). pic.twitter.com/zGG8f6tCR9
— Arun S. Chopra CFA CMT? (@FusionptCapital) May 23, 2022
You’re all caught up now. Thanks for reading!