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Daily Chart Report ? Wednesday, January 4th, 2023

January 4, 2023

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Today’s Summary
Wednesday, January 4th, 2023

Indices: Russell 2000 +1.25% | S&P 500 +0.75% | Nasdaq 100 +0.48% | Dow +0.40%

Sectors: 10 of the 11 Sectors closed higher. Real Estate led, gaining +2.29%. Energy was the only sector that closed lower, but just barely (-0.01%).

Commodities: Crude Oil futures dropped -5.32% to $72.84 per barrel. Gold futures rose +0.70% to a seven-month high of $1,859 per ounce.

Currencies: The US Dollar Index fell -0.41% to $104.26.

Crypto: Bitcoin rose +1.11% to $16,855. Ethereum gained +3.41% to $1,256.

Interest Rates: The US 10-year Treasury yield fell to 3.686%.

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 six-hour candlestick chart of S&P 500 futures over the past six months. The S&P 500 has been stuck in a narrow range between 3800 & 3900 for more than two weeks now. Brian points out that there is a lot of price memory within this range, as several key AVWAPs have converged there. Even the VWAP from the Covid low is within this tight range. When you have multiple VWAPs bunching together like this, it strengthens the implications of a potential breakout or breakdown. Price will likely resolve higher or lower out of this range in the coming days, given how long this chopfest has persisted. It would be very constructive to see a decisive break above 3900 in the near term, but that hasn’t happened just yet.

Quote of the Day

“Growth and comfort do not coexist.”

– Ginni Rometty

Top Links

Average Isn’t So Average When it Comes to Investing – Carson Group
Ryan Detrick points out that the S&P 500 rarely has an ‘average’ year.

The 10 Charts to Watch in 2023 – Grindstone Intelligence
Austin Harrison highlights 10 noteworthy charts to keep an eye on this year.

The New Year Could Be All About Junk Bonds – StockCharts.com
Mish Schneider takes a look at High Yield Bonds and what they’re suggesting about risk appetite.

Pre-Election Years = 80% Hit Rate After Down Mid-Terms – All Star Charts
JC Parets examines what the Presidential Cycle could mean for the S&P 500 this year.

The U.S. Stock Market: Best and Worst Performing Sectors in 2022 – Visual Capitalist 
Visual Capitalist breaks down the 2022 heat map of the S&P 500.

Top Tweets

You’re all caught up now. Thanks for reading!