my concluding indicator update, I concluded that, "All inwards all, the prove is suggesting an absence of bullish interest, equally observed inwards the NYSE TICK, the weak novel highs/lows, weak momentum, together with tepid AD Lines." This yesteryear week, non much has changed that assessment.
* New Highs/Lows - We tin meet from the hap nautical chart that novel twenty 24-hour interval lows vs. highs convey continued to expand, amongst 395 NYSE, NASDAQ, together with ASE stocks making fresh highs together with 1665 making novel lows. As long equally novel lows are expanding, it is premature to locomote bottom-fishing for anything other than a short-term trade. At a wider fourth dimension frame, nosotros had fifteen NYSE mutual stocks register fresh 52-week highs on Friday, against 99 novel lows. The latter is the highest number of novel lows since the Jan bottom. Among S&P 500 stocks, nosotros had no annual highs on Fri against 26 novel lows; amidst S&P 600 small-scale cap issues, nosotros had two novel 52-week highs together with 37 novel lows. All inwards all, we're seeing a deterioration of strength, though novel lows are good off their real expanded levels from belatedly January.
* Cumulative Adjusted TICK Line - Note from the 2nd nautical chart higher upwards how the recent marketplace bounce was non at all confirmed yesteryear our Cumulative Adjusted TICK Line, suggesting that bullish participation was waning. Since then, we've broken to novel lows inwards the Line, confirming what we're seeing amidst the novel highs/lows. We take away to meet bullish thought sustained earlier nosotros tin set inwards a durable marketplace bottom. The TICK Line bounce from the Jan lows was impressive, but has since faded. My readings from Th together with Fri advise both an absence of buyers (low positive TICK readings) together with an excess of selling pull per unit of measurement area (extreme negative TICK readings).
* Overbought/Oversold - The bottom nautical chart tracks the cumulative draw of piece of occupation for my Demand/Supply Indicator, which has been a real proficient overbought/oversold mensurate of late. We meet deterioration inwards the cumulative draw of piece of occupation inwards keeping amongst the novel highs/lows together with TICK, equally we've entered oversold territory. Note that readings below -30 convey typified recent marketplace lows on a short-to-intermediate term basis; we're currently some -10.
* Advance/Decline Lines - The AD Line for NYSE mutual stocks remains higher upwards its Jan lows, though non yesteryear much. The same is truthful for the AD Line specific to S&P 500 together with NASDAQ 100 stocks, but we're seeing marginal novel lows inwards the AD Line for the S&P 600 small-scale caps together with the broad NASDAQ Composite. This is telling us that small-scale caps convey resumed weakness relative to large caps. All of these lines are inwards downtrends longer-term.
* Momentum - Among S&P 500 stocks, we're seeing 24% trading higher upwards their 50-day moving averages, a pregnant deterioration from the 55% at the recent marketplace peak. Similarly, we're seeing 29% of S&P 600 small-scale cap stocks trading higher upwards their 50-day MAs, downwards from 51% recently. My Demand/Supply mensurate of short-term momentum was real weak on Friday, amongst Demand at 24 together with Supply at 228. It is non at all odd for momentum to striking extremes earlier nosotros meet actual cost highs or lows for a marketplace move.
All inwards all, nosotros dice on to meet deterioration inwards the indicators together with a possible exam of the Jan lows inwards the making. I am non inclined to purchase this marketplace until nosotros meet definitive prove of greater buying interest, momentum, together with strength.
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