Courtesy of Doug Short’s Advisor Perspectives.
The S&P 500 slumped at the open to a modest morning low and then rose to its 0.07% intraday high about 90 minutes in the session. It then sold off in a relatively steady pace to its -0.66% afternoon low. Some sideways trading in the final hour trimmed the daily loss to 0.52%, ending a decelerating three-day rally. The index will go into its Friday session up 0.52% for the week after four sessions.
The yield on the 10-year note closed at 1.88%, up three basis points from the previous close.
Here is a snapshot of past five sessions in the S&P 500.
Here is a daily chart of the index. Today’s volume is now in the vicinity of its 50-day moving average.
A Perspective on Drawdowns
Here’s a snapshot of selloffs since the 2009 trough.
Here is a more conventional log-scale chart with drawdowns highlighted.
Here is a linear scale version of the same chart with the 50- and 200-day moving averages.
A Perspective on Volatility
For a sense of the correlation between the closing price and intraday volatility, the chart below overlays the S&P 500 since 2007 with the intraday price range. We’ve also included a 20-day moving average to help identify trends in volatility.
