Thursday, July 18h, 2019
Indices: US stocks inched higher in today’s session, with the Dow Jones Industrial Average closing up just 3 points or 0.01%. The S&P 500 was the strongest of the major indices, gaining 0.36%.
Sectors: Utilities led for the second day in a row, gaining 0.87%. Communications lagged, falling 0.85%.
Commodities: Crude Oil futures fell for the sixth straight session, falling 2.33% to $55.42 per barrel. Gold futures gained 0.34% to $1,427 per ounce.
Currencies: The US Dollar Index dropped 0.53%.
Interest Rates: The US 10-year Treasury yield moved lower to 2.028%
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
Today’s Chart of the Day was shared on Twitter by Scott Elliott (@Scelliott81). It’s a weekly candlestick chart of Tesla ($TSLA) testing a key level around $250. As you can see this level acted as support several times in the past before breaking down in April. After breaking the $250 level, the stock fell to a low of $177 on June 3rd. Since then, shares have rallied 43% back to the scene of the crime. Scott alludes to a classic concept in Technical Analysis known as the principal of polarity, where former support tends to act as resistance.
Quote of The Day
“All of us have cognitive blinders. Technical Analysis addresses that.”
– Andrew Lo (Professor)
Chris Kimble has been closely covering the precious metals rally for months. In this piece, he points out that silver is approaching a potential resistance level.
What is Technical Analysis? – All Star Charts
Technical Analysis can be a pretty broad term. In this video, JC Parets explains what Technical Analysis means to him and how it encompasses so much more than trendlines and indicators.
The Dumb Money is Nearing Maximum Confidence – Sentiment Trader
Jason Goepfort of Sentiment Trader shows that investor confidence is creeping higher. He takes a look at the proprietary “Dumb Money” sentiment indicator and points out that it’s currently in the top 2.3% of all readings.
What Can We Expect From The Stock Market Over the Next 3 Months – BullMarkets.co
In this piece, Troy Bombardia uses historical data to guide his intermediate-term outlook. He includes charts of past years to emphasize that the next three months are often choppy and sideways, especially after a strong first half of the year.
Top 10 Tweets
The S&P 500's 10-Day A/D is on pace for its first negative reading since 6/14. pic.twitter.com/Z45YfsEDcP
— Bespoke (@bespokeinvest) July 18, 2019
Investor Intelligence bulls-bears now >40%. Fund flows telling a different tale, but it’s definitely time to pay close attention to sentiment w/ $SPX up 20% ytd, at 3000 and w/ less favorable seasonality until autumn pic.twitter.com/GVJDE94dxN
— Urban Carmel (@ukarlewitz) July 18, 2019
Valuation is not a catalyst: I get it, int'l is cheap vs domestic but that is not a good reason to look abroad. There needs to be a catalyst that tightens the valuation gap. Until that happens $ACWX is in a clear downtrend vs $SPX pic.twitter.com/b6dL8ky6Fd
— Dan Russo, CMT (@DanRusso_CMT) July 18, 2019
Oil has created a giant symmetrical triangle since October. There should be resolution (break out or break down) in the next 6 weeks. I'm completely flat, but the 54.50 level is key for me around TL support. Lot of market memory there. @tgmacro What say you? $CL $WTI pic.twitter.com/dCfyshEc6t
— Tarek I. Saab (@FibLines) July 18, 2019
— Charlie Bilello (@charliebilello) July 18, 2019
— BostonCharts (@bostonchaahhts) July 18, 2019
If you're bullish on gold miners, you want to be long the small guys – that's where the real alpha is. Personally, I'd want to be long $GDXJ if we're still above ~36.50 and if the ratios between $GDXJ / $GDX and $GDXJ / $SPY continues higher.
I see some accumulation here. pic.twitter.com/6oCjCVsHbU
— Louis (@LASCharting) July 18, 2019
— Christian Fromhertz (@cfromhertz) July 18, 2019
— Rich Meatto (@koyfinTrader) July 18, 2019
Pretty ominous-looking chart there, NFLX. pic.twitter.com/WYeiz9nbvY
— Walter Deemer (@WalterDeemer) July 17, 2019
Tuesday, July 23rd – CMT Association: New York Chapter Meeting Featuring Tony Dwyer
Wednesday, July 24th – Webcast: “Coding in Python – The Traders New Edge” with Chris Cain, CMT