Daily Chart Report ? Friday, October 23rd, 2020
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Today’s Summary
Friday, October 23rd, 2020
Indices: US Stocks were were mostly higher in today's session. The Dow Jones Industrial Average inched lower by just 28 points or 0.10%. The S&P 500 and Nasdaq rose 0.34% and 0.37%, respectively. Small-Caps outperformed with the Russell 2000 gaining 0.63%.
Sectors: 9 of the 11 sectors closed higher. Communications led, gaining 0.94%. Energy lagged, falling 0.49%.
Commodities: Crude Oil futures fell 1.94% to $39.85 per barrel. Gold futures were unchanged and continue to trade around $1,905 per ounce.
Currencies: The US Dollar Index fell 0.20%.
Interest Rates: The 10-year US Treasury yield ended a six-day winning streak, falling to 0.838%.
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 Shane Murphy (@murphycharts). It's a daily candlestick chart of the Regional Banking ETF, $KRE, over the past year. Regional Banks broke above their 200-day moving average this week for the first time since the crash began in February. $KRE is up more than 19% in October, putting it on track for its best month since 2016. This is happening as the US 10yr-2yr Treasury yield spread steepens to its widest level in more than two years. This yield spread is often thought of as a barometer for Banks' profitability. Regional Banks make the majority of their profits from lending. When the 10yr-2yr yield spread steepens, Banks can make more money on loans. If the spread continues to steepen, it would be a tailwind for Regional Banks. Any improvements from Regional Banks would be a bullish development for risk assets and the broader market.
Quote of the Day
“The worst thing to call somebody is crazy. It's dismissive.”
– Dave Chappelle
Top Links
Halloween Trading Strategy: S&P 500 Up 85% of the Time - Almanac Trader
Seasonality Expert, Jeff Hirsch points out that the last four trading days in October and the first three trading days in November have a pretty bullish track record.
Where Do We (Investors) Stand? - David Cox
Portfolio Manager, David Cox highlights the most significant technical developments to be aware of.
October Conference Call: 5 Key Takeaways - All Star Charts
Steve Strazza outlines five important themes to watch over the next few weeks.
Stock Market Video Analysis for Week Ending 10/23/20 - AlphaTrend.Net
Brian Shannon recaps this week's price action and lays out some levels of interest to keep an eye on next week.
Do You Remember The Crypto Bubble in 2017? - Rieben Financial
Greg Rieben discusses how he's playing the latest breakout in Cryptocurrencies.