This is an abridged version of our Daily Report.
A really, really tepid rally
In the past 90 days, there have been only 3 breadth thrusts, a tepid run as the S&P 500 nears a new high.
Rallies with few thrusts did worse going forward than rallies with more of them, but even so the returns were still positive.
Coffee and sugar are the worst
Sentiment on coffee and sugar is among the worst it’s been in 30 years for both contracts. That has led to medium-term rebounds in the commodities…and it was good for Starbucks, too.
Coffee futures have declined for 9 straight sessions, tied for the 4th-longest streak since 1972. Its last streak went to 13 sessions at the end of October 2013. The only other one in the past 20 years was 10 straight losses.
Fix for skewed charts
Over the weekend, Eric added the option for logarithmic scales on the charts, for either the index or indicator (as long as it doesn’t have zero or negative values). Click here for a short post about why that can be useful.
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The post titled A Tepid Rally As Coffee And Sugar Sour was originally published as on SentimenTrader.com on 2018-08-21.
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