Here are the updated custom market breadth charts for Dow, S&P500 and Nasdaq 100.
At this point the breadth overbought condition is neutralized. To form a proper market bottom, more time is needed to push the market breadth readings into oversold territory. This may take one to three weeks depending on how the market is reacting to the current price levels.
One thing for sure is that the volatility will continue to stay at a higher level throughout this period.
For our premium members, they are forewarned about this correction with 5% and 8% pullback targets realized over the past 2 days. For those who do not want to miss the upcoming great trading opportunities, sign up now to become a premium member today.
I have written an article called Advance Issues Momentum published in the Technical Analysis of Stocks and Commodities magazine, August 2004 issue. Here is an update about this interesting indicator.
The ...
Review of Forecast for Aug 8, 2016
No 1% move in either direction led to range bounded actions, so 2% breakout play not triggered. Longer term breadth sell setups developing but ...
Review of Forecast for Jun 29, 2015
Gap lower on Greece situation. That ruled out the potential for a 1% bounce at the start of the week and led to continuous ...
As indicated yesterday before market close that a pullback is due and that it is likely in the afterhours session, here it is - a selloff in the night at ...
Many asked for an update on the reading of the Daily Breadth Chart. Here it goes.
Since last update,
1. The selloff - checked
2. The bounce - checked
3. The What-If - ...
Advance / Decline Issues Bear Strike is a day trading model based on real-time advance / decline issues. It is a very consistent mechanical trading model and a useful trading ...
As the long term Tick16 index is staying in the bullish zone, and that the short term Tick16 has moved away from the long term index for some time already, ...
Review of Forecast for Jan 4, 2016
Got the 5% selloff projected. The breadth analog model did a perfect job for the week.
Forecast Starting Jan 11, 2016
Summary of the S&P500 ...
Review of Forecast for Jun 13, 2016
S&P intraday downside breakout fulfilled 100% weekly range expansion. Whiplash moves around 50% expansion level. The breadth analog model did an excellent job for ...
Review of Forecast for Apr 20, 2015
First attempt to go higher last week was capped at the 1.5% boundary as forecasted last week. Yet by mid week the selling failed ...
Market Breadth Correction Progresses To Neutral
An update to my post back in mid-September pointing out that a market breadth driven correction was on the way.
Here are the updated custom market breadth charts for Dow, S&P500 and Nasdaq 100.
At this point the breadth overbought condition is neutralized. To form a proper market bottom, more time is needed to push the market breadth readings into oversold territory. This may take one to three weeks depending on how the market is reacting to the current price levels.
One thing for sure is that the volatility will continue to stay at a higher level throughout this period.
For our premium members, they are forewarned about this correction with 5% and 8% pullback targets realized over the past 2 days. For those who do not want to miss the upcoming great trading opportunities, sign up now to become a premium member today.
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