Daily Chart Report 📈 Wednesday, August 14, 2024
Powered By:
Today’s Summary
Wednesday, August 14, 2024
Indices: Dow +0.61% | S&P 500 +0.38% | Nasdaq 100 +0.09% | Russell 2000 -0.52%
Sectors: 7 of the 11 sectors closed higher. Financials led, gaining +1.22%. Communications lagged, falling -0.57%.
Commodities: Crude Oil futures fell -1.75% to $76.98 per barrel. Gold futures dropped -1.12% to $2,480 per oz.
Currencies: The US Dollar Index inched lower by -0.03% to a six-month low of $102.57.
Crypto: Bitcoin dropped -3.17%to $58,697. Ethereum fell -1.55% to $2,662.
Volatility: The Volatility Index dropped -10.55% to 16.20.
Interest Rates: The US 10-year Treasury yield dropped to 3.837%.
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 John Kolovos (@John_Kolovos).
- The S&P 500 hasn’t closed lower since last Wednesday. It’s up nearly +5% since then, marking the best five-day rally since November, when the index was thrusting off the October 2023 low.
- John points out that $SPX is testing potential resistance at 5,450, representing the 50-day moving average and the 61.8% Fibonacci retracement of the recent drawdown.
- If this were a countertrend move (bounce within a downtrend), it likely wouldn’t retrace more than two-thirds (61.8%) of its drawdown. Breaking this threshold (5,450) would prove that this has been a durable rebound.
Takeaway: After a sharp bounce, the S&P 500 has reached a confluence of potential resistance at 5,450. Reclaiming this level would open the door to a full recovery to all-time highs.
Quote of the Day
“It’s during pullbacks you get to see what a stock is really made of. Does it come bouncing back like a tennis ball or splat like an egg? The best stocks rebound the fastest.”
– Mark Minervini
Top Links
NDR: Market Digest, August 2024 - Unprecedented Times - Ned Davis Research
NDR examines how the Dow has historically performed when the incumbent doesn't run for reelection.
Stock Market Analysis Brian Shannon Alphatrends 8/14/24 - AlphaTrends
Brian Shannon breaks down recent price action and some key levels to watch in the near term.
Big Changes in Sentiment - All Star Charts
JC Parets points out that the recent volatility has effectively shaken out the weak hands and reset sentiment.
VIX Spike, Subsequent Crash May Usher Short-Term Tailwinds - Schaeffer's Investment Research
Rocky White examines how the S&P 500 has historically performed after a Vol crush.
Renaissance's Jeff deGraaf Breaks Down What He's Seeing in the Charts For Under-the-Surface Stocks
Jeff deGraaf offers his technical perspective on the current market environment.