It's Saturday Morning Chartoons time. 

This is the weekly post that aggregates all the charts we put together throughout the week and organizes them all into one, easy to flip through deck.

We came into last week wondering if we'd get follow through from Bank stocks.

I think we can all agree that we did. And not just in the U.S. but around the world.

Here are Regional Banks above those key 2018 highs:

There are few things as bullish as Regional Bank stocks acting well.

We went over all things Financials including new long positions in yesterday's note.

These look like uptrends to me:

How bad could things be if these European Banks are above key support?

...

It's Saturday Morning Chartoons time. 

This is the weekly post that aggregates all the charts we put together throughout the week and organizes them all into one, easy to flip through deck.

The talk around town this week is the potential "double bottom" in US Interest Rates. 

You can see that here along with the higher low in the highly correlated Regional Bank stocks:

Is the resiliency in Copper pointing to higher rates?

You can see Copper relative to Gold here and how closely the ratio moves with rates:

The strength in Copper and other base metals is impressive. We dove into it on this week's Live Strategy Session along with our favorite Steel Stocks to take advantage of these trends.

But it's the weakness in Gold that really stands out. No one wants...

It's Saturday Morning Chartoons time. 

This is the weekly post that aggregates all the charts we put together throughout the week and organizes them all into one, easy to flip through deck.

I rip through more charts than almost anyone in the world. 

Here's the bottom line. Some stocks are going up, most stocks are not.

That's the answer.

You want know what's up? That's the deal.

So are more stocks going to start going up too? 

Maybe.

But right now that's the trend. Mostly a choppy sideways hot mess, with some stocks resolving those consolidations higher.

One thing I will add, however, is the lack of downside resolutions.

We're just not seeing these stocks and indexes breaking down and holding down. Or at least, we're not seeing more and more of them do that.

So the glass is half full right now. And I think if Regional Banks can get their act together and the 10yr yield can get back above 1.4% then I believe the glass could be even more full.

In the meantime, I think we need to continue to err on the mostly messy with a few exceptions...

It's Saturday Morning Chartoons time. 

This is the weekly post that aggregates all the charts we put together throughout the week and organizes them all into one, easy to flip through deck.

I've also promised you guys that I would do my best to highlight the work of some of my friends who I think do a good job of analyzing markets. 

So today I want to show you a seasonal chart from Ari Wald, Head of Technical Analysis at Oppenheimer.

The main chart represents the US Presidential Cycle peaking in the 3rd quarter of Post-Election years. That's this quarter.

Click Chart to Zoom in

On the lower right, Ari did a nice job of showing the annual seasonal cycle going back 30 years. This one peaked yesterday, July 16th. 

We've discussed the deteriorating market breadth. We've talked about the Intermarket relationships all rolling over, particularly in the bond market and currency markets. And sentiment-wise, there simply aren't any bears...

It's Saturday Morning Chartoons time. 

This is the weekly post that aggregates all the charts we put together throughout the week and organizes them all into one, easy to flip through deck.

What are these falling rates suggesting for the rest of this summer?

I think this one tells an interesting story. I believe there are implications here for small-caps.

An upside resolution in $IWM likely means rates have found a floor:

But they still have some work to do. 

We discussed all of this and everything else on the latest Quarterly Playbook. You can download that here.

Also make sure to check out this week's Saturday Morning Chartoons. These are my favorite!

There are stocks going up and there are stocks that are not going up.

What you're not really seeing is many stocks going down.

That's probably the best way to describe this market.

We've outlined our long positions, particularly those that have been showing relative strength and positive momentum. Those areas are working.

But most stocks are not.

You can see the difference in the Value Line indexes, when we compare them to the S&P500. Think of these more of the "Median" stock:

You can see the same thing in other areas we look for confirmation of risk appetite. Both the Aussie/Yen and the High Beta / Low Volatility ratios are not confirming the new highs in S&Ps:

The Advance / Decline lines for both the NYSE (common stocks only) and the Nasdaq peaked a while ago.

They're all telling the same story.

Some...

It's Saturday Morning Chartoons time. 

This is the weekly post that aggregates all the charts we put together throughout the week and organizes them all into one, easy to flip through deck.

One thing that stood out to me this week was the relentless amount of mixed intermarket signals.

On one hand, we have Lumber Futures getting completely destroyed. When I've ignored Lumber in the past, it's been a mistake.

This is probably something we shouldn't ignore:

On the other hand, if things were about to get worse for the Stock market, then why are Consumer Staples and Utilities both making new relative lows?

This is evidence of risk appetite, not risk aversion:

I think this all continues to speak to trading what's in front of you, and not overthinking the intermarket relationships.

We discussed all of...

It's Saturday Morning Chartoons time. You can read more about the reasoning behind this post here. 

We're just interested in aggregating all of the charts we put together throughout the week and organizing them all into one, easy to flip through deck.

One thing that stood out to me this week was this table of new highs and new lows. It's a great way to visualize what's going on underneath the surface:

I also see here how investors have way too much exposure to stocks, compared to historical measures. We're seeing this in other sentiment data too.

But here's the Household Asset Allocation Stocks vs Bonds ratio:

And finally, I came across this old gem to remind us how important relative strength is for stocks and sectors in the market. Or in this case, a lack of relative strength.

There were plenty of warning signs in financials, particularly Lehman and Bear...

It's Saturday Morning Chartoons time. You can read more about the reasoning behind this post here. 

We're just interested in aggregating all of the charts we put together throughout the week and organizing them all into one, easy to flip through deck.

One thing that stood out to me this week is the lack of deterioration underneath the surface.

We're just not getting an expansion in new lows.

Fewer new highs? Yes definitely. For a while now.

But more new lows? 

Not broadly speaking yet, no.

For the indexes to go lower, you need more and more stocks going lower. It's just math. 

And even if you look at short-term new lows, we're not seeing expansion yet either:

So for me, that's what I'm watching.

Is the market vulnerable for a correction? Yes.

But without an expansion in new lows, it's...