Tuesday, October 8th, 2019
Indices: US stocks closed lower in today’s session with the Dow Jones Industrial Average falling 314 points or 1.19%. The S&P 500 and Nasdaq dropped 1.56% and 1.67%, respectively. The Russell 2000 was the weakest of the major averages, sliding 1.68%.
Sectors: All 11 sectors of the S&P 500 closed lower. Real Estate led but still fell 0.48%. Financials lagged, dropping 1.98%.
Commodities: Crude Oil futures moved lower by 0.25% to $52.66 per barrel. Gold futures were flat, changing just 0.03% to $1,503 per ounce.
Currencies: The US Dollar Index inched higher by 0.15%.
Interest Rates: The US 10-year Treasury yield fell to 1.532%.
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 Strategas Research Partners (@StrategasRP). So much time is spent arguing over who will win the 2020 presidential election. But, perhaps the outcome lies in the performance of the stock market. The light blue line shows the average performance of the S&P 500 in the years where the incumbent party won. The dark blue line shows the average performance of the S&P 500 in the years where the incumbent party lost. As you can see, in the years where the incumbent party lost, the market did relatively poorly leading up to the election. This chart suggests that Americans tend to respond to poor stock market performance by voting for a change in leadership. For more on this phenomenon, check out this interesting article from LPL Finacial Research.
Quote of The Day
Can Copper Rally Here? – The Chart Report
In this report, we take a look at the record net short position in Copper futures and what it could mean for the metal going forward.
Can the Economy Predict the Next President? – LPL Financial Research
Here’s a note from the team at LPL Financial Research that goes along with our Chart of the Day. In the note, they examine the relationship between the economy and presidential elections.
Technical Voodoo at Play in the Benchmark S&P 500 – Omaha Charts
Trent Smalley shows readers how Fibonacci levels have come into play over and over again since the 2008 financial crisis.
Buying Opportunities Ahead, Says Louise Yamada – Financial Sense
Here’s the Financial Sense podcast featuring Louise Yamada, her segment starts about 12 min. and 30 sec. in. She explains that she remains cautious on this market but thinks buying opportunities will present themselves.
Midweek Stock Market Recap & Technical Analysis – The Trade Risk
In this video, Evan Medeiros highlights some important levels to watch in the S&P 500, Small-caps, Treasury Bonds, Oil and Precious Metals.
Top 10 Tweets
Well, an ugly close to the day, but one day doesn't make a trend.
Strong selling across all S&P 500 sectors with Financials, Energy, and Health Care leading the way down. Gold ended positive, Oil was down, and Bitcoin slumped a tad.$SPY ☕️ pic.twitter.com/SqpCMCSz9z
— Jack Damn ♻️ (@JackDamn) October 8, 2019
— Frank Cappelleri (@FrankCappelleri) October 8, 2019
At the very least… the chart tells us to be a little defensive… that just seems logical to me. pic.twitter.com/IFPYEpTzKS
— Sam McCallum (@honeystocks1) October 8, 2019
Sometimes simply watching the trends tell you what's really happening in the economy. Long bonds and gold outperforming stocks over the past year and industry rotation is defensive. pic.twitter.com/ejFQEVkJPw
— Louis Llanes (@louisllanes) October 8, 2019
$SPX I've been watching this chart for a while now and want to reiterate some structural bearish warning signs:
1) Ending ascending triangle
2) Bearish momentum divergence
3) Potential ending wave 5
The bullish and bearish levels are clear, keeping an open mind pic.twitter.com/WKFAGmZYHU
— Jt (@Jtacher51) October 8, 2019
— Yuriy Matso (@yuriymatso) October 8, 2019
— J.C. Parets (@allstarcharts) October 8, 2019
Breakouts that complete a lengthy bullish continuation chart pattern and also record new all-time highs offer great long-term opportunity. pic.twitter.com/EyMJNlLb8F
— Aksel Kibar, CMT (@TechCharts) October 8, 2019
"[It] shatters the dream that surrounds many of these hot stocks, because now these companies must publicly report each quarter how much money they’ve made or lost. Nothing impacts a fantasy more than reality.” Short Term Update, 3/22 [On the Lyft IPO] https://t.co/k5FvakCS48 pic.twitter.com/R4IEJP6CBS
— Elliott Wave International (@elliottwaveintl) October 8, 2019
As @teddyschleifer reports @Postmates is delaying its IPO, here's a look at the performance over the last 3 months of the some of the most notable tech companies that recently went public.$PINS $WORK $UBER $LYFT $CRWD $ZM $CHWYhttps://t.co/a9l7X7qpvF @teddyschleifer @Recode pic.twitter.com/coGQmqnN7O
— YCharts (@ycharts) October 8, 2019
Wednesday, October 9th – Webcast: “The Market Between Now And Year-End” with Ralph Acampora, CMT
Monday, October 14th – Dallas Chapter Meeting Featuring Jeffery Hirsch
Tuesday, October 15th – Minnesota Chapter Meeting Featuring Dave Keller, CMT
Tuesday, October 22nd – New York Chapter Meeting Featuring Sam Stovall
You’re all caught up now. Thanks for reading!