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Today’s Summary
Friday, September 17th, 2021
Indices: US Stocks ended the week on a sour note with the Dow falling 166 points or 0.48%. The S&P 500 and Nasdaq both dropped 0.91%. The Russell 2000 outperformed, gaining 0.18%.
Sectors: Health Care was the only sector that managed to close higher, by just 0.10%. Materials lagged, dropping 2.06%.
Commodities: Crude Oil futures fell 1.09% $71.82 per barrel. Gold futures inched lower by 0.16% to $1,754 per ounce.
Currencies: The US Dollar Index moved higher by 0.41%.
Interest Rates: The 10-year US Treasury yield rose to 1.365%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
it is NOT a coincidence, but it doesnt mean it is perfect or will work every time
it should be viewed as a #levelofinterest pic.twitter.com/Rqm2Rg1H3U
— Brian Shannon, CMT (@alphatrends) September 17, 2021
Today’s Chart of the Day was shared by Brian Shannon (@alphatrends). All eyes continue to be on the 50-day moving average as the S&P 500 closed below it today for the first time in three months. In a comment to The Chart Report, Brian explained that popular moving averages, like the 50-day, can be self-fulfilling in nature due to the fact that traders big and small make decisions around them. “It isn’t just institutions, it’s retail as well. How many traders have the 50-day on their chart? Most of them, we have all been trained that it is important so our actions make sure it is.” As Brian says, it should be thought of as a level of interest, rather than guaranteed support. It continues to be worth paying attention to, especially given how many times it’s been tested this year. Some near-term caution is warranted as long as we’re below it. It’s also worth noting that whipsaws around these moving averages are common, so patience is necessary to confirm a meaningful trend change.
Quote of the Day
“Always observe, watch,
and talk to older people.”
– Nas
Top Links
S&P 500 Down 25 of 31 During Week After September Quarterly Options Expiration, Average Loss 0.94% – Almanac Trader
Seasonality expert, Jeff Hirsch examines how stocks have historically performed the week after September OpEx (next week).
Signs of Increasing Risk Appetite – Potomac Fund Management
Dan Russo takes a look at several key risk ratios.
Where Do We (Investors) Stand? – David Cox
In this quick video, David Cox highlights some of the most important technical developments to be aware of.
Is China ETF (FXI) Setting Up for Further Losses? – Kimble Charting Solutions
Chris Kimble breakdown a long-term chart of the China Large-Cap ETF, $FXI.
Stock Market & Bitcoin Analysis September 17, 2021 – AlphaTrends
Brian Shannon reviews this weeks price action in Stocks and Crypto, and lays out some levels to keep an eye on in the near term.
Top Tweets
See that last bar on the right and the blue line.
You'd be shocked how many people are paying very close attention to it. pic.twitter.com/odTwLXCEwR
— Eddy Elfenbein (@EddyElfenbein) September 17, 2021
A lot of talk about SPX and 50 DMA, and while it did close < it today, it has now gone 219 days without back-to-back closes < 50 DMA, second only to '95-'96 pic.twitter.com/vgSyWSASpp
— Jonathan Krinsky,CMT (@jkrinskypga) September 17, 2021
Having the barest shred of longer-term perspective has shown 95% efficacy against getting flustered when the S&P 500 index noodles with its 50-day average again. pic.twitter.com/IMuS1Qouu6
— Michael Santoli (@michaelsantoli) September 17, 2021
$IWM up on the week. Is that right? pic.twitter.com/fNjJzbFwTA
— Mike Zaccardi, CFA, CMT (@MikeZaccardi) September 17, 2021
Sharp two-way swings within a relatively narrow range *usually* indicate a reversal — but market also facing stiff seasonal headwinds here. Fascinating juncture… pic.twitter.com/pkH8y5zobC
— Walter Deemer (@WalterDeemer) September 17, 2021
the average stock in the Nasdaq Composite is -34.6% from 52-week highs… pic.twitter.com/oqjSrKHXbZ
— David Cox, CMT, CFA (@DavidCoxWG) September 17, 2021
Interesting chart. After outperforming in the first 4-5 months of 2021, the Industrials sector is now underperforming the S&P over the last year. pic.twitter.com/7b22NQnJGM
— Bespoke (@bespokeinvest) September 16, 2021
Time to really think about:
• Portfolio exposure (& sensitivity) to Rates
• Stocks most vulnerable
• Stocks most well-positioned to benefitMost managers are not prepared for this shift – which could be a Major opportunity.
Have a good weekend. pic.twitter.com/5vwK6x2BAa
— Macro Charts (@MacroCharts) September 17, 2021
the beginning or the end? pic.twitter.com/hHnVZamBZZ
— J.C. Parets (@allstarcharts) September 17, 2021
Remember when Silver became a meme?
New 52-week low today, down 26% from its Feb 1 high. $SLV pic.twitter.com/e3bnbl4oQy
— Charlie Bilello (@charliebilello) September 17, 2021
You’re all caught up now. Thanks for reading!