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.
Review of Forecast for Feb 1, 2016
Potential swing top setup materialized. Limited upside and downside was correct based on the previous week boudnaries but the expected 1.5% limit was off. ...
Review of Forecast for Apr 11, 2016
Initial weaknesses did not produce much damage and the slingshot move higher materialized. The breadth analog model did a great job for the week. ...
Review of Forecast for Oct 19, 2015
Pullback of 1% capped the drop so the 2% and more decline did not materialize. Volatility spike as forecasted. The breadth analog model did ...
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 ...
It is 1 am Eastern Time and the overnight market is down at the moment.
Japan Nikkei is down more than 1%
But as of close of yesterday Aug 17, the Tick16 ...
Market breadth analysis is a lesser known analysis tool comparing to price patterns or technical indicators. As there are not many technical papers and books written on the subject, most ...
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 ...
To utilize S&P500 Tick1K Index, we can start from its basic properties of being highly correlated to the bar to bar pattern with Emini S&P (and SPY too) on 5-minute ...
I am going to present the first example trading model in this series that exploits the characteristics of the NYSE Tick Index. Most people focus on the intraday behaviour of ...
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.
Share