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Today’s Summary
Tuesday, November 12th, 2019
Indices: US stocks closed slightly higher in today’s session. The Dow Jones Industrial Average was completely unchanged. The S&P 500 and Nasdaq gained 0.16% and 0.26%, respectively. The Russell 2000 was flat, changing just 0.02%.
Sectors: Health Care led, gaining 0.60%. Real Estate lagged falling 0.66%.
Commodities: Crude Oil futures were flat and continue to trade at $56.84 per barrel. Gold futures slipped 0.25% to $1,454 per ounce.
Currencies: The US Dollar Index rose 0.11%.
Interest Rates: The US 10-year Treasury yield moved lower to 1.917%.
Here are the best charts, articles, and ideas being shared on the web today!
Chart of the Day
It’s been over a year since AMZN’s last new high (Sept. ’18). As a roughly 30% weight in Discretionary, this is a headwind for the cap-weighted sector. Chart via @verrone_chris @Todd_Sohn pic.twitter.com/hm6Ib297ii
— Strategas (@StrategasRP) November 12, 2019
Today’s Chart of the Day was shared on Twitter by Strategas Research Partners (@StrategasRP). It’s a chart of Amazon ($AMZN) going back to July 2017. The middle pane shows Amazon’s weight in the Consumer Discretionary sector, and the bottom pane is a ratio chart showing Consumer Discretionary relative to the S&P 500. The Consumer Discretionary sector has been relatively weak over the past month despite the broader market hitting all-time highs. Strategas suggests that this is likely due to the fact that $AMZN represents a whopping 29% of the sector. $AMZN is still about 13% below its former high, and it’s up less than 4% over the past 12-months. Over the same period, the S&P 500 is up 11.22%, and the Consumer Discretionary sector is up 9.97%. Clearly, $AMZN has not lived up to its reputation as a market leader as of late.
Quote of The Day
“If you think the food is poison you can starve at a banquet.”
– Art Cashin (Director of Floor Operations at UBS)
Top Links
Putting The Bull In Perspective – LPL Financial Research
In this note, the team at LPL Financial Research drop some interesting facts about the secular bull market.
RRG Shows Bullish Sector Rotation! – StockCharts.com
Julius de Kempenaer uses a Relative Rotation Graph to show the bullish shift from defensive sectors into offensive sectors.
Marijuana Chart Suggests Look Out…Above? – All Star Charts
In this piece, Tom Bruni takes a look at a chart of the Medical Marijuana ETF, $HMMJ. He argues that the ETF is poised for a counter-trend rally after falling nearly 60% over the past eight months.
Bank Breakout of Financial Crisis Highs or Double Topping Again? – Kimble Charting Solutions
Chris Kimble points out that the Financial Sector ETF ($XLF) is testing a critical resistance level that was formed from its 2007 highs.
Risk is Back, Baby – SentimenTrader
Jason Goepfert highlights the resurgence of risk-appetite in the markets as investors shift from “risk-off” assets to “risk-on” assets.
Top 10 Tweets
The last time the Dow moved 0.00 points was 4/24/14 https://t.co/h3yhvKlO3i pic.twitter.com/SnLE71vYOd
— OK Sam Ro ? (@SamRo) November 12, 2019
Unchanged Dow days since 1970. pic.twitter.com/5adaoqOxXf
— Charles Forelle (@charlesforelle) November 12, 2019
The S&P 500 hasn't touched its 10-day moving average in 23 sessions, the longest such streak since February-March 1998. pic.twitter.com/AMy72M90xu
— Luke Kawa (@LJKawa) November 12, 2019
I continue to watch the 50-period MA on the 1hr chart for intraday insight in $SPX trend. Downside risk would be a break below along w/ a move under the recent RSI range. pic.twitter.com/NHZ8oggIWG
— Andrew Thrasher, CMT (@AndrewThrasher) November 12, 2019
S&P Industrials already out of its BIG BASE…R2000 Prod. Durab. (aka Indl’s) leading the R2000…& R2000 this close to its own breakout. pic.twitter.com/DA5MeKsmxZ
— Wolfe Daily Howl (@WolfeDailyHowl) November 12, 2019
Imagine if $BA really starts to work again. $XLI vs $SPX pic.twitter.com/bNcCdxjRS8
— Dan Russo, CMT (@DanRusso_CMT) November 12, 2019
The transports are struggling at the round 11,000-century level, which also happens to be +20% YTD. Possibly an Oops!?$DJT $IYT pic.twitter.com/tcyZfsTx16
— Matthew Timpane, CMT (@offbeatoperator) November 12, 2019
If recent history holds, bonds are in for a world of hurt… $TLT $IEF $TNX pic.twitter.com/klqDp4RZJT
— Mike Coolbaugh (@elementmacro) November 12, 2019
Not really a line in the sand kind of guy, but it would be a good sign if copper could find support near 2.64 – staying above 2.60 is probably more important. pic.twitter.com/uPV4ui4bWg
— Willie Delwiche (@WillieDelwiche) November 12, 2019
all time highs… let me $GOOGL that for you pic.twitter.com/n3nwoY4qk1
— J4 (@J4_fibo) November 12, 2019
Upcoming Events
Tuesday, November 19th – Benzinga Global Fintech Awards
Wednesday, November, 20th – New York Chapter Meeting featuring Gina Martin Adams, CMT, CFA
Thursday, November, 21st – Washington DC/Baltimore Chapter Meeting featuring Katie Stockton, CMT
You’re all caught up now. Thanks for reading!