Thursday, January 14th, 2021
Indices: US Stocks closed mostly lower in today’s session. The Dow Jones Industrial Average slipped 69 points or 0.22%. The S&P 500 and Nasdaq fell 0.38% and 0.12%, respectively. The Russell 2000 outperformed significantly gaining 2.05%.
Sectors: 4 of the 11 sectors closed higher. Energy led, rising 2.96%. Tech lagged, falling 0.88%.
Commodities: Crude Oil futures moved higher by 1.25% to $53.57 per barrel. Gold futures slipped 0.19% to $1,851 per ounce.
Currencies: The US Dollar Index inched lower by 0.12%.
Interest Rates: The 10-year US Treasury yield rose to 1.131%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
How extended can Crypto really be when the 2nd largest coin, or 13% of the market-cap of the entire Crypto complex, has made zero progress in 37 months? Hell, $BTC literally just corrected 30%…
Charts like this suggest we're closer to the start of the move rather than the end pic.twitter.com/TwdlQ6ItvK
— Louis Sykes (@haumicharts) January 14, 2021
Today’s Chart of the Day was shared on Twitter by Louis Sykes (@haumicharts). It’s a chart of the second-largest Cryptocurrency, Ethereum, over the past five years (ETH/USD). Louis points out that Ethereum is testing its former highs around $1,200-$1,400. If you’ve been following the Cryptocurrency space, you’ll recognize that this setup looks very similar to how Bitcoin looked a month ago. Price is attempting to break out of a multi-year base within a primary uptrend. This is still a crucial level to clear. But if we do break out to all-time highs in the next few weeks, things could get really interesting. With Bitcoin up more than 100% in the past month, it’s easy to say the Crypto space is overextended. But to Louis’ point, what if the party in the Crypto space is just getting started?
$BNKU and $BNKD, the 3x leverage & -3x inverse leverage Big Banks ETNs were created to provide targeted access for sophisticated traders.
Quote of the Day
“The world is changed by your example, not by your opinion.”
– Paulo Coelho
Heavily Shorted Stocks Stand Tall in 2021 – Bespoke
Bespoke points out that stocks with high short interest have continued to squeeze recently.
Podcast w/ Ryan Detrick and Eddy Elfenbein – Seeking Alpha
In this podcast, Ryan Detrick and Eddy Elfenbein weigh-in on the current market environment.
US Dollar Collapse, Crude Oil Skyrocket About to Happen? – Kimble Charting Solutions
Chris Kimble takes a look at the relationship between Crude Oil and the US Dollar.
Ed Clissold Examines Growth Vs. Value – TD Ameritrade Network
Ed Clissold shares his thoughts on Growth vs. Value.
A Relative Report – Jotting on Charts
Grant Hawkridge highlights some important ratio charts to keep an eye on.
$IWM R2k Components today:
10: up more than 20%
69: up more than 10%
300: up more than 5%
29: down more than 5%
1: down more than 10%
0: down more 20%
— Frank Cappelleri (@FrankCappelleri) January 14, 2021
Everyone is selling their large cap tech stocks in order to buy more of small cap stocks.
If you wondered what rotation looks like… pic.twitter.com/MCnM747NNb
— Yuriy Matso (@yuriymatso) January 14, 2021
Here's a quick look at over 35% of $QQQ. $GOOGL $AAPL $MSFT and $AMZN All consolidating within longer term uptrends and near their 10 week average (that's the % at the bottom). These have not been very exciting lately but look out if these get going pic.twitter.com/NCplek3qbO
— Gregory Krupinski (@G_krupins) January 14, 2021
Semiconductors are off to their best start to a year (9.9%) since 2003. pic.twitter.com/qfKqTdsupM
— Bespoke (@bespokeinvest) January 14, 2021
In my next life I want to come back as a semiconductor. pic.twitter.com/8mg3VQ0nso
— Ryan Detrick, CMT (@RyanDetrick) January 14, 2021
Emerging Markets are bumping up against ATH's after basing for 14-years. Although, I wouldn't be too surprised if we consolidated some before an eventual breakout as we're stretched +27.27% from the 21-month moving average, an area we saw tops in 2010 & 2018.$EEM pic.twitter.com/07eiOrS8rY
— Matthew Timpane, CMT (@mtimpane) January 14, 2021
2s10s yield curve continuing to creep back up … now at 2017 levels pic.twitter.com/QL2iqBgC5Z
— Liz Ann Sonders (@LizAnnSonders) January 14, 2021
A widening yield curve has been bullish for small-caps vs large-caps. So far in 2021, small-caps have picked up where they left off in Q4. 4/5 pic.twitter.com/IAmu7XWax5
— Ed Clissold (@edclissold) January 14, 2021
— jeroen blokland (@jsblokland) January 14, 2021
You've been waiting for a 30% drop.
You got one.
— Zack Voell (@zackvoell) January 13, 2021
You’re all caught up now. Thanks for reading!