Sponsored By:
Today’s Summary
Friday, October 22nd, 2021
Indices: Dow +0.21% | S&P 500 -0.11% | Nasdaq -0.82% | Russell 2000 -0.21%
Sectors: 7 of the 11 sectors closed higher. Financials led, rising 1.40%. Energy lagged, falling 1.85%.
Commodities: Crude Oil futures rose 1.79% to a seven-year high of $83.98 per barrel. Gold futures gained 0.63% to $1,793 per ounce.
Currencies: The US Dollar Index fell 0.16%.
Interest Rates: The US 10-year Treasury yield snapped a five-day winning streak falling to 1.636%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
A Rare Year-To-Date $VIX Low In October: https://t.co/NKYTIEcocV $SPX $SPY $QUANT $STUDY pic.twitter.com/0b10PIvHFR
— Quantifiable Edges (@QuantifiablEdgs) October 22, 2021
Today’s Chart of the Day was shared by Rob Hanna of Quantifiable Edges (@QuantifieablEdgs). October has historically been the most volatile month, however that has not been the case this year. The Volatility Index ($VIX) just closed at its lowest level in more than a year yesterday. Rob points out that it’s rare to see the VIX hit a year-to-date low in October. This was the 6th occurrence in the past 30 years. Rob explained; “Five instances is too few to draw solid conclusions. Still, all of those instances were followed by gains between 2-12 months out. For more on this, check out the full note here.
Quote of the Day
“What we achieve inwardly
will change outer reality.”
– Plutarch
Top Links
The Market is Smarter Than You Think | 5 Charts – LPL Financial Research
In this quick video, Ryan Detrick and Scott Brown break down five must-see charts.
Risk-On as the Bear Thesis Continues to Fall Apart – Potomac Fund Management
Dan Russo takes a look at several important ratio charts.
What Happens When Oil Prices Show Historic Momentum – SentimenTrader
Jason Goepfert explains why Crude Oil prices will likely continue rising.
Stock Market & Bitcoin Analysis October 22nd, 2021 – AlphaTrends
Brian Shannon reviews this week’s price action in Stocks and Crypto and lays out some key levels to watch next week.
But in Yen Terms… – All Star Charts
JC Parets points out that US Dollar weakness could spark a rally in precious metals.
Top Tweets
Dow closes at all-time high 35,677.02.
— Eddy Elfenbein (@EddyElfenbein) October 22, 2021
The S&P 500 has made a new all-time high in all 10 months so far in 2021.
Most since 11 in 2017.
Only month to hit 12 for 12 was 2014, so there's still a chance 2021 can join that rare club. pic.twitter.com/hJy6TIdL1p
— Ryan Detrick, CMT (@RyanDetrick) October 22, 2021
Strong weak for transports $IYT pic.twitter.com/c42RWvV6X9
— Mike Zaccardi, CFA, CMT (@MikeZaccardi) October 22, 2021
Dow Jones Transport climbing higher with DJ Industrial testing its August high. $DJI $DJT pic.twitter.com/lqxJO7oiDI
— Andrew Thrasher, CMT (@AndrewThrasher) October 22, 2021
VIX made a new YTD closing low yesterday – September’s volatility appears, at least for now, to have been transitory. pic.twitter.com/mMsJwUZkG0
— Willie Delwiche (@WillieDelwiche) October 22, 2021
Remember those nasty utilities $XLU being down 14 days in a row? That was over three weeks ago when selling volume peaked into capitulation. XLU is now up over 6% since then, even while interest rates have continued to move higher.@TrendSpider https://t.co/oKoJnzmcZt
— Jonathan Harrier, CMT (@jonathanharrier) October 22, 2021
How much higher can rates go? A lot higher.
Does that mean financials would most likely outperform tech? Absolutely.$TNX $XLF $XLK pic.twitter.com/DMZK8XCuCK— David Keller, CMT (@DKellerCMT) October 22, 2021
The fixed income arena seems to be moving itself into a 'Risk on > Risk off' position…$JNK $IEF pic.twitter.com/kJUgkykHqs
— Ian McMillan, CMT (@the_chart_life) October 21, 2021
Silver back to 30? https://t.co/U93nbs4H7k pic.twitter.com/VVBagagn0a
— J.C. Parets (@allstarcharts) October 22, 2021
— Dan J. Gorghuber, CMT (@Futures_Runner) October 22, 2021
The S&P 500 is currently higher by 38.99% the last twelve months and has set a new all-time high twelve months in a row and exactly 1 year ago the world was about to end because of the election.
Some poor soul out there sold it all a year ago & never looked back. #Doh
— Steve Deppe, CMT (@SJD10304) October 22, 2021
You’re all caught up now. Thanks for reading!