Wednesday, August 10th, 2022
Indices: Russell 2000 +2.95% | Nasdaq 100 +2.85% | S&P 500 +2.13% | Dow +1.63%
Sectors: All 11 sectors closed higher. Materials led, gaining +2.84%. Utilities lagged but still rose +0.44%.
Commodities: Crude Oil futures gained +1.58% to $91.93 per barrel. Gold futures inched higher by +0.08% to $1,814 per ounce.
Currencies: The US Dollar Index dropped -1.04%.
Crypto: Bitcoin rose +3.27% to $23,914. Ethereum dropped +8.92% to $1,856.
Interest Rates: The US 10-year Treasury yield was unchanged at 2.785%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
— Austin Harrison, CFA, CMT (@meanstoatrend) August 10, 2022
Today’s Chart of the Day was shared in a note by Austin Harrison (@meanstoatrend). It’s a daily candlestick chart of the US Dollar Index ($DXY) over the past year. $DXY slid more than 1% today marking one of its worst days in recent years. Austin points out that it broke below its 50-day moving average for the first time in six months today, ending the longest streak above it since 2015. As we know, Dollar strength has been one of the biggest headwinds for Stocks, and other risk assets this year. Bulls want to see this trend continue to break down. This is a great start for $DXY, but it would be even more constructive to see it fall back below the 2016/2020 highs around $103.
Quote of the Day
“When you get a range expansion, the market is sending you a very loud, clear signal that the market is getting ready to move in the direction of that expansion.”
– Paul Tudor Jones
Market Trends To Keep On Your Radar – TD Ameritrade Network
In this clip, Willie Delwiche shares his thoughts on the current market environment.
What a Spike in Cash Holdings Could Mean for Stocks – Schaeffer’s Investment Research
Rocky White examines how the S&P 500 has historically performed after cash allocations move above 20%.
You Can’t Be Short – All Star Charts
JC Parets highlights some key levels to watch in the S&P 500 and Ethereum.
VIX and Volatility Have Historically Increased August through November – Almanac Trader
Jeff Hirsch points out that Volatility has historically picked up over the next couple of months.
What Moves Markets? – The Irrelevant Investor
Michael Batnick weighs in on the reaction to today’s inflation data.
Didn’t make it today but S&P 500 has come very close to clawing back 50% of its bear market decline
[Past performance is no guarantee of future results] pic.twitter.com/YJ0qNZUmZL
— Liz Ann Sonders (@LizAnnSonders) August 10, 2022
According to Wall Street Journal, the Nasdaq entered a new bull market by moving by more than 20% from the recent lows.
What do you think about this 'interpretation'? pic.twitter.com/75rnueX5F3
— Yuriy Matso (@yuriymatso) August 10, 2022
— Optuma (@Optuma) August 10, 2022
— Jim Carroll (@vixologist) August 10, 2022
— Stacey.A.Lee (@BBaxter2020) August 10, 2022
Bulls have loved the bounce off the June lows.
NDR Trading Sentiment Composite now showing excessive optimism for the first time this year. pic.twitter.com/lVfS4k1dzg
— Willie Delwiche, CMT, CFA (@WillieDelwiche) August 10, 2022
— Matt Weller CFA, CMT (@MWellerFX) August 10, 2022
— Greg Rieben (@gregrieben) August 10, 2022
The rebound in Bitcoin off the June lows have been enough to flip several of our Bitcoin technical indicators to bullish readings over the last few weeks, including the deviation from trend indicator below. 1/2 @NDR_Research pic.twitter.com/IJlSWtO7Qd
— Rob Anderson (@robanderson_stl) August 10, 2022
— Greg Harmon, CMT/CFA, President Dragonfly Capital (@harmongreg) August 10, 2022
Netflix $NFLX is now up 50% from its 2022 low but still hasn't gotten back to the level it opened at when it gapped down 29% following its April earnings report.
Started the year above $600, currently trading at $242 and change. pic.twitter.com/EVMVk6Oz3w
— Bespoke (@bespokeinvest) August 10, 2022
— Charlie Bilello (@charliebilello) August 10, 2022
You’re all caught up now. Thanks for reading!