Thursday, August 8th, 2019
Indices: US stocks were higher in today’s session with the Dow Jones Industrial Average gaining 371 points or 1.43%. The Nasdaq was the strongest of the major indices, advancing 2.24%.
Sectors: All 11 sectors closed positive. Energy led, gaining 2.87%. Utilities lagged but still gained 1.03%.
Commodities: Crude Oil futures rose 2.82% to $52.58 per barrel. Gold futures fell 0.58% to $1,509 per ounce.
Currencies: The US Dollar Index was unchanged for the second day in a row.
Interest Rates: The US 10-year Treasury yield rose to 1.719%.
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 Willie Delwiche (@WillieDelwiche). It is a chart of the latest AAII Sentiment Survey results with the percentage of bulls in green, and the percentage of bears in red. Willie notes that the percentage of bulls fell drastically this week from 38% to 22% while the percentage of bears doubled! He adds that sentiment is back to the extreme levels that we saw at the December 2018 low, when the S&P 500 was down nearly 20%. Sentiment tends to be a contrarian indicator, especially at extreme readings. The fact that this weeks volatility caused such a large shift in sentiment while the S&P 500 is only 3% off of an all-time high is actually quite bullish.
Quote of The Day
“You wanna fly, you got to give up the shit that weighs you down.”
– Toni Morrison (Novelist)
Interest Rates Bottoming After 40% Decline? Stock Bulls Hope So! – Kimble Charting Solutions
Chris Kimble points out that the US 10-year Treasury Yield is in the process of reversing its long-term downtrend after falling over 40% in the past 9-months.
Podcast with Ari Wald, Head of Technical Analysis at Oppenheimer – Technical Analysis Radio
In this podcast, Ari Wald of Oppenheimer joins host, JC Parets to discuss his technical outlook on the US Stock Market. They touch on everything from market breadth to Dow Theory.
Thursday Color – Islands, Emerging Streak & Breadth, Signs of Anxiety, Gold – Sentiment Trader
Jason Goepfert of SentimentTrader.com provides an in-depth analysis of the current market environment.
Where FAANG Sits – Bespoke
In this note from Bespoke, they check up on the beloved FAANG stocks (Facebook, Amazon, Apple, Netflix, and Google.)
S&P 500 Has Not Found a Capitulation Bottom Yet, Strategist Keller Says – Bloomberg
David Keller of Sierra Alpha Research made an appearance on Bloomberg yesterday to share his thoughts on the recent stock market volatility.
Top 10 Tweets
Normally, as highly shorted stocks go up, their short interest declines as people get squeezed. I'm noticing many highly shorted stocks that are going up but their short interest is INCREASING. This could help to provide fuel later on.
— Joseph Fahmy (@jfahmy) August 8, 2019
— Mike Zaccardi, CFA, CMT (@MikeZaccardi) August 8, 2019
— TomAspray (@TomAspray) August 8, 2019
Looks like higher lows taking shape in $SPY and $QQQ as they bounce. Even lowly $IWM managed to hold its June low and bounce. Uptrends in SPY and QQQ clearly intact. IWM remains range bound. pic.twitter.com/BhBv5FSrXs
— Arthur Hill, CMT (@ArthurHill) August 8, 2019
— Brian Shannon, CMT (@alphatrends) August 8, 2019
— Andrew Thrasher, CMT (@AndrewThrasher) August 8, 2019
— Kevin Kleinman (@KleinmanBHC) August 8, 2019
— Dana Lyons (@JLyonsFundMgmt) August 8, 2019
— Dan Russo, CMT (@DanRusso_CMT) August 8, 2019
— Eddy Elfenbein (@EddyElfenbein) August 8, 2019
You’re all caught up now. Thanks for reading!