Daily Chart Report π Thursday, August 3, 2023
Powered By:
Todayβs Summary
Thursday, August 3, 2023
Indices: Nasdaq -0.11% | Dow -0.19% | S&P 500 -0.26% | Russell 2000 -0.28%
Sectors: 3 of the 11 sectors closed higher. Energy led, rising +1.01%. Utilities lagged, dropping -2.28%.
Commodities: Crude Oil futures gained +2.59% to $81.55 per barrel. Gold futures fell -0.31% to $1,969 per oz.
Currencies: The US Dollar Index snapped a five-day winning streak, inching lower by -0.10% to $102.49.
Crypto: Bitcoin was flat and continues to trade around $29,187. Ethereum was also flat and continues to trade around $1,836.
Interest Rates: The US 10-year Treasury yield rose to an eight month high of 4.181%.
Here are the best charts, articles, and ideas shared on the web today!
Chart of the Day
Today's Chart of the Day was shared by Brian Joyce (@Nasdaqbjoyce). The Dollar Index ($DXY) is at a crossroads again, and the next move for stocks could hinge on the path it takes. $DXY broke down to a 15-month low three weeks ago, after violating the February/April lows, around $101. However, that breakdown is failing as price has reclaimed the prior lows. It snapped a five-day winning streak today but only fell -0.10%. Brian points out that today's flattish price action created a Doji candle at a confluence of resistance from two downward-sloping trendlines. Doji candles represent a brief moment of equilibrium between buyers and sellers before an eventual imbalance. If $DXY resolves higher, it would likely put pressure on stocks, while an inflection lower could act as a tailwind.
Quote of the Day
"Divergences are like laxatives. You never know if one is enough or two is too many."
- Justin Mamis
Top Links
Charts Say Pullback Should Be Followed By Higher Highs - Ciovacco Capital Management
Chris Ciovacco analyzes the short-term and long-term trend for stock.
Will Rising Rates Lead to a Stock Market Bloodbath? - All Star Charts
Ian Culley looks at what the resurgence in interest rates could mean for stocks.
Another Hot July. Another Late-Summer/Autumn Buy? - Almanac Trader
Jeff Hirsch points out that outsized gains in July have historically been followed by a sell-off in late-Summer/Autumn.
Sentiment Swings Higher Despite Decline - Bespoke
Bespoke breaks down the results of the latest AAII Sentiment Survey.
Are Tech Stocks About to Falter or Ready to Lead Again? - Kimble Charting Solutions
Chris Kimble examines a long-term ratio chart of the Nasdaq Composite vs. the S&P 500.