Sponsored By:
Today’s Summary
Wednesday, May 29th, 2019
Indices: US stocks were lower in today’s session, with the Dow Jones Industrial Average closing down 221 points or 0.87%. The Russell 2000 was the weakest of the major indices, finishing down 0.94%.
Sectors: Materials led, but closed flat. Utilities lagged, falling 1.33%.
Commodities: WTI Crude Oil futures fell by 0.50% to settle at $58.81 per barrel. Gold futures were higher by 0.73%, and are trading around $1,286 per ounce.
Currencies: The US Dollar Index rose 0.19%.
Interest Rates: The US 10-year Treasury Yield fell to 2.262%.
Here are some of the best charts, articles, and ideas being shared on the web today!
Today’s chart of the day was shared on Twitter by Andrew Thrasher (@AndrewThrasher). It’s a price chart of Corn futures going back 20 years with the 11-day Rate of Change indicator above it. Corn futures have been absolutely surging lately with the commodity up over 20% in the past 11 days. Thrasher uses the rate of change indicator to point out that this has been one of the sharpest rallies corn has seen over the past two decades. Check out his blog post here where he provides further commentary on the breakout in crop commodities.
Quote of The Day
“Actually, the best traders have no ego”
– Jack D. Schwager (Author, Market Wizards)
Crude Oil had its worst week of 2019 last week. In this report, we discuss the current outlook for the commodity and how it could impact the US Equity market. Fairlead Strategies’ Katie Stockton on the Market’s Technical Signals – CNBC
Technical analyst, Katie Stockton made an appearance on CNBC yesterday. She laid out the bull case for US stocks and pointed to some of the key levels that she’s watching.
Typical June Trading: Any Early Gains Tend to Fade – Almanac Trader
In this quick read, seasonality expert Jeff Hirsch takes a look at how the stock market performs on average throughout the month of June.
S&P 500 Could be Poised to Drop to 2,650 – Bloomberg
Here’s a clip from Bloomberg where Abigail Doolittle walks viewers through the potential head & shoulders top that’s forming on the chart of the S&P 500 futures. She cautions that if this pattern is confirmed, it could bring the S&P 500 down to 2,650.
Learning from 1998, 2002, 2009, 2011, and 2016 Stock Market Lows – Chris Ciovacco
In this piece, Chris Ciovacco compares the S&P 500’s price action in 2019 to 5 similar scenarios from the past couple of decades.
Top 10 Tweets
The S&P 500 found support at the 200-day MA today. pic.twitter.com/Ku6jOvWlRW
— Ryan Detrick, CMT (@RyanDetrick) May 29, 2019
$SPX – Tag, ur it! pic.twitter.com/oX3oRjtARG
— Dan Russo, CMT (@DanRusso_CMT) May 29, 2019
ChOTD-5/29/19 Broad U.S. Stock Market Testing Critical Technical Turf $VALUG $VLG pic.twitter.com/Ws8p7ZhXmb
— Dana Lyons (@JLyonsFundMgmt) May 29, 2019
Mixed mkt msgs developing … $SPX confirmed for 2650 but this chart says bond rally may halt & offer brief reprieve for #stocks selloff pic.twitter.com/k6wUkwIkcQ
— Abigail Doolittle (@TheChartress) May 29, 2019
10-year yield bottomed just before noon. S&P 500 low matched almost to the second.
Yesterday yields closed on their lows and stocks sold off the last hour, today yields finish at the highs – final-hour bid.
That's been the key, let's see how fast the market changes the locks. pic.twitter.com/yXOK1CMKn3
— Michael Santoli (@michaelsantoli) May 29, 2019
Total put/call spiked to 1.41 today. That’s high. Risk/reward is usually biased higher (see chart). Last 5 years, $SPX gained a min of 0.9% (avg 2.1%) w/in next 5 days. In December, it dumped before it jumped pic.twitter.com/oi2PdthX5p
— Urban Carmel (@ukarlewitz) May 29, 2019
With the pullback in defensive sectors over the last few days, no sectors have more than 50% of stocks above their 50-day moving averages right now. 28% of S&P 500 stocks are above their 50-DMAs. $SPY $$ pic.twitter.com/X45yDpEDAP
— Bespoke (@bespokeinvest) May 29, 2019
There is nothing boring about trading Corn $ZC_F A contract controls 5,000 bushels, each weighing 56 pounds. No counter-party risk, no risk of hacks, transparent price discovery, global adoption. pic.twitter.com/EUyilbrIPY
— Peter Brandt (@PeterLBrandt) May 29, 2019
amongst the mayhem….. US front month corn futures at a interesting juncture (corn, wheat and soya have staged a nice rally). Corn +27.5% since early May and testing the 5 year highs pic.twitter.com/loSa1M6FxP
— Real Vision Research (@RVAnalysis) May 29, 2019
Hearing lots of good buys on Wall Street today. Good buy bonus, good buy country club, good buy mistress…
— Walter Deemer (@WalterDeemer) May 29, 2019