Today’s Chart of the Day was shared by Strategas Research (@StrategasRP). On top is a ratio chart of Consumer Discretionary sector vs. Consumer Staples sector, and on the bottom, is a ratio chart of the Semiconductor index vs. the S&P 500. These two ratios are commonly used by technicians to gauge risk appetite for the broader market. Both continue to be in downtrends, threatening to make new lows. In fact, the Semiconductor index closed at fresh 20-month lows on a relative basis today. In a comment to The Chart Report, Todd Sohn of Strategas said, "It was a red flag with the recent equity bounce not being accompanied by any resounding leadership from these two ratios. No improvement - and fresh lows now - leaves us hesitant on the broader market."
Chart of the Day - Wednesday, June 29th, 2022
June 29, 2022
