Daily Chart Report ? Wednesday, August 17th, 2022
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Today’s Summary
Wednesday, August 17th, 2022
Indices: Dow -0.50% | S&P 500 -0.72% | Nasdaq 100 -1.21% | Russell 2000 -1.64%
Sectors: Energy was the only sector that closed higher, rising +0.83%. Communications lagged, dropping -1.94%.
Commodities: Crude Oil futures rose +1.83% to $88.11 per barrel. Gold futures fell -0.73% to $1,777 per ounce.
Currencies: The US Dollar Index rose +0.18%.
Crypto: Bitcoin fell -2.32% to $23,314. Ethereum dropped -2.68% to $1,829.
Interest Rates: The US 10-year Treasury yield rose to 2.900%.
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 Walter Deemer (@WalterDeemer). The S&P 500 is up 17% since the June low, and everyone wants to know; is this a bear market rally, or the start of a new bull market? But what if it’s neither? Walter brings up the 1962 analog as a possible scenario to consider. This year has played out very similarly to 1962 so far. The S&P 500 peaked around the beginning of that year (two weeks before it started), then slid 28%, and ultimately bottomed in June… Sound familiar? It then rallied 14% off those June lows, but it rolled over at the end of August and gave back nearly all of its Summer rally. It would’ve been silly to call that 14% Summer rally ‘the start of a new bull market’ considering it went back to retest the June lows in October. At the same time, it would’ve been silly to call it a ‘bear market rally’ considering it didn’t quite make a new low. As Walter points out, it’s really all just semantics.
Quote of the Day
“Charting is a little like surfing. You don’t have to know a lot about the physics of tides, resonance, and fluid dynamics in order to catch a good wave. You just have to be able to sense when it’s happening and then have the drive to act at the right time.”
– Ed Seykota
Top Links
Battle at the 200-day Moving Average - Howard Lindzon
Howard Lindzon shares his thoughts on the S&P 500 as it tests the 200-day moving average.
The Bulls are In Control and Risk Management Levels are Clear – Research by Potomac
Dan Russo highlights some key technical developments.
10-Day A/D Line Overbought for 15 Days – Bespoke
Bespoke points out that the 10-day A/D line has been overbought for 15 consecutive days now.
August Mid-Month Conference Call: 5 Key Takeaways – All Star Charts
The team at All Star Charts shares five noteworthy charts to consider.
What the Mets Can Teach Us About Chart Analog’s – CMT Association
Steve Deppe reminds us not to read too far into analog charts.
Top Tweets
You’re all caught up now. Thanks for reading!