Sponsored By:
Today’s Summary
Monday, April 12th, 2021
Indices: US Stocks closed slightly lower to start the week. The Dow Jones Industrial Average inched lower by 55 points or 0.16%. The S&P 500 was flat (0.02%), while the Nasdaq slipped 0.36%. The Russell 2000 underperformed, falling 0.43%.
Sectors: 8 of the 11 sectors closed higher. Consumer Discretionary led, rising 0.64%. Energy lagged, falling 0.79%.
Commodities: Crude Oil futures rose 0.64% to $59.70 per barrel. Gold futures fell 0.70% to $1,733 per ounce.
Currencies: The US Dollar Index inched lower by 0.11%.
Interest Rates: The 10-year US Treasury yield moved slightly higher to 1.668%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
When the S&P 500 doesn't close beneath the December low during Q1 the returns the full year are extremely strong.
Up 18.4% on average and higher 33 out of 35 times.
It just happened again in '21, which could have bulls smiling. pic.twitter.com/bfy0rXP5uv
— Ryan Detrick, CMT (@RyanDetrick) April 12, 2021
Today’s Chart of the Day was shared by Ryan Detrick of LPL Financial Research (@RyanDetrick). The S&P 500 marched higher throughout the first quarter, leaving the December lows untouched in the rearview mirror. Ryan highlights an interesting phenomenon known as the ‘The December Low Indicator.‘ This little-known phenomenon was first discovered in the 1970s by Forbes columnist, Lucien Hooper. As you can see from the table, returns have been quite strong when the S&P 500 fails to violate its December low during the first quarter. This has happened 35 times since 1950. The S&P 500 ended those years higher 94% of the time for a solid average gain of 18.4%.
Sponsored:
Join us this Saturday, April 17th for the 5th Annual Chart Summit!
You’ll have the chance to hear from an elite group of professional technicians as they reveal their market insights and offer professional-level strategies you can use to control risk and increase profitability in today’s market.
It’s fast-paced, action-packed, and completely FREE to attend!
More than 15 speakers are scheduled to deliver fast and informative 25-minute livestream presentations. We will announce the full speaker list shortly — sign up now and check back for the full agenda!
Quote of the Day
“Statistical thinking will one day be as necessary a qualification for efficient citizenship as the ability to read and write.”
– H.G. Wells
Top Links
Equity Sentiment Becomes A Bit Frothy – Andrew Thrasher
Andrew Thrasher points out that bullish sentiment is becoming a concern.
Checking in on the US Market Breadth – Jotting on Charts
Grant Hawkridge examines market breadth.
Big Tech is Back – Rieben Financial
Greg Rieben takes a look at the resurgence in Mega-Cap Tech.
Tech Mega-Caps Joined the Rally – Momentum Monday
In their weekly Momentum Monday video, Howard Lindzon and Ivanhoff highlight the hottest stocks, trends, and themes across the market.
A Canadian Perspective w/ Portfolio Manager David Cox – All Star Charts
In this podcast, JC Parets and David Cox discuss some of the bullish tailwinds for Canadian equities.
Top Tweets
Will it get out this week? $COMPX pic.twitter.com/NUcvrkxqTy
— Dan Russo, CMT (@DanRusso_CMT) April 12, 2021
One of the highest bullish readings in #AAII history can't be bullish, right?…..$SPX $SPY pic.twitter.com/gMRPbJGSqz
— David Keller, CMT (@DKellerCMT) April 12, 2021
It’s an important week for big banks, by association an important week for the overall mkt.
Our hunch: big banks/big financials are better sells than buys.
In the past month, $BKX exceeded its pre Financial Crisis Feb 2007 high. Relative performance to $SPX is another matter. pic.twitter.com/gjNd0k7gJC
— Carter Braxton Worth (@CarterBWorth) April 12, 2021
NYSE Arca Gold Miners Index 1W
We shall see! Weekly RSI making a new high is encouraging.$GDX $GLD $GDXJ $GC_F pic.twitter.com/buUCpixHUy
— Shane C. Murphy (@murphycharts) April 11, 2021
Lumber future another new high- it is up limit today pic.twitter.com/v7LwM5LQ8m
— Tom Hearden (@followtheh) April 12, 2021
Lumber / Gold ratio approaching that next target pic.twitter.com/kHwq6tJKRB
— J.C. Parets (@allstarcharts) April 12, 2021
Did the counter-trend USD rally just hit the ceiling with a false 200-days MAV breakout? pic.twitter.com/7qoS3pY2HJ
— conradseric, CMT, CAIA, CEFA (@conradseric) April 12, 2021
Seasonal charts – like the newly updated and larger ones at https://t.co/PjGR3LM8M9 – can help you improve your odds. Like this one. At a glance it’s easy to see that if the U.S. Dollar is going to rally it will have to do so against a strongly unfavorable seasonal headwind. pic.twitter.com/3t3ySI2r7Z
— Jay Kaeppel (@jaykaeppel) April 12, 2021
Happy 30th birthday to S&P GSCI commodities index as per @SPDJIndices pic.twitter.com/IubBS2OyDp
— Liz Ann Sonders (@LizAnnSonders) April 12, 2021
Cold coolers make for hot stocks these days.$YETI at new highs today, breaking out of a 3 month consolidation range and setting up for new relative highs, too. Sure is one beauty of a chart here! pic.twitter.com/ouGb2x8VO2
— Grayson Roze (@GraysonRoze) April 12, 2021