Thursday, January 9th, 2020
Indices: US stocks closed higher in today’s session with the Dow Jones Industrial Average gaining 212 points or 0.74%. The Nasdaq was the strongest of the major indices, moving higher by 0.81%. The S&P 500 rose 0.67% while the Russell 2000 was relatively flat, changing just 0.08%.
Sectors: 10 out of the 11 sectors closed higher. Technology led for the second day in a row, gaining 1.13%. Real Estate lagged, changing just 0.03%.
Commodities: Crude Oil futures fell 0.65% to $59.59 per barrel. Gold futures slipped 0.38% to $1,554 per ounce.
Currencies: The US Dollar Index rose by 0.12%.
Interest Rates: The US 10-year Treasury yield moved lower to 1.855%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
— jeroen blokland (@jsblokland) January 9, 2020
Today’s Chart of the Day was shared by Jeroen Blokland @jsblokland. The chart compares the performance of Gold and the Japanese Yen ($JPY/USD), over the past six years. Due to the safe-haven characteristics of these assets, there exists a solid historical relationship between them. By overlaying the two price charts, Blokland is highlighting not just the long-term positive correlation, but more importantly, the near-term divergence between them. Beginning in early November, you can see a noticeable dislocation between their relationship as the Yen is pressing on fresh six month lows while Gold recently achieved its highest level in almost seven years. As with any correlated assets, prices can diverge for a while, but due to the time-tested nature of this one, it would be wise to pay attention to this and anticipate that one asset will eventually catch up or down to its counterpart.
Quote of the Day
“The human brain is an incredible pattern-matching machine.”
– Jeff Bezos (Founder & CEO of Amazon)
Market Update – Gold, Oil, Equities, Bonds, and USD – Fibonacci.com
In this video, Tarek Saab of Fibonacci.com examines several key charts that are worth keeping an eye on right now.
David Keller on Gold and the Growth vs. Value Trade – TD Ameritrade Network
David Keller made an appearance on TD Ameritrade Network today to give his technical take on the S&P 500, Gold, and growth versus value stocks.
Why the First Five Days of 2020 Could Have Bulls Smiling – LPL Financial Research
In this note, the team at LPL Financial Research explains what the first five days of the year could suggest for the rest of 2020.
Ultimate Guide to the Hindenburg Omen – SentimenTrader
Troy Bombardia of SentimenTrader breaks down everything you need to know about the infamous Hindenburg Omen, a breadth-based indicator used for predicting stock market declines.
Three Charts That Suggest the Risk Rally Is Set to Continue – Bloomberg
Steve Suttimeier of BofA Merrill Lynch presents three charts that point to further upside for stocks.
Top 10 Tweets
If you are a bull, probably want S&P 500 up in Jan
If the S&P 500 is:
Up during Santa Rally (last 5 days/first 2 day of new year)
Up first 5 days of new year
Up in Jan
SPX total return full yr is higher 29 of 31 times and 21.3% avg
First two are checked off..
— Ryan Detrick, CMT (@RyanDetrick) January 9, 2020
Your Market Recap…
S&P 500: All-Time High
Dow: All-Time High
Nasdaq: All-Time High
Wilshire 5000: All-Time High
409K's: All-Time High pic.twitter.com/izWxc9uAvS
— Charlie Bilello (@charliebilello) January 9, 2020
Seeing slight dip in % of stocks above 50-day MA. Absolute levels are still healthy but short-term divergence developing. Price yet to react. pic.twitter.com/JVBFAVfAnx
— Andrew Thrasher, CMT (@AndrewThrasher) January 9, 2020
Arthur Sklarew "cross through the box" – posited that often the market would travel equal excursions on both sides of a range when there was a false breakout. pic.twitter.com/v2TyfhAkzZ
— Linda Raschke (@LindaRaschke) January 9, 2020
— Christian Fromhertz (@cfromhertz) January 9, 2020
— BostonCharts (@bostonchaahhts) January 9, 2020
— Dan Russo, CMT (@DanRusso_CMT) January 9, 2020
the resolution is coming pic.twitter.com/tRfZNZelhw
— J.C. Parets (@allstarcharts) January 9, 2020
— Greg Rieben (@gregrieben) January 9, 2020
If the Dow returns 7% per year, it will pass 210,000 within one generation.
Remember that the next time you fret that it's gone down 100 points.
— The Motley Fool (@themotleyfool) January 9, 2020