Info!! Indicator Update For May 4Th

Last week's indicator review institute that, spell at that topographic point was about narrowing of forcefulness amidst the indicators, at that topographic point was besides continued forcefulness inwards participation as well as buying sentiment--not something usually institute at marketplace tops. This by calendar week added to that strength, equally Demand (stocks closing inwards a higher house their short-term volatility envelopes) continued to transcend Supply (top chart) as well as the release of stocks making fresh 65-day highs expanded to a fresh bull swing tiptop (second nautical chart from top).

The NYSE Cumulative TICK besides moved to a novel high for this bull swing (second nautical chart from bottom), equally did the Advance-Decline work for NYSE mutual stocks (bottom nautical chart the forcefulness we've been seeing amidst the SPX sectors.

As long equally nosotros expire on to run across an expanding release of stocks making novel highs as well as to a greater extent than stocks trading on upticks than downticks--moving the Cumulative TICK higher--pullbacks should last relatively brusque as well as shallow. I volition last tracking many of these indicators daily earlier the marketplace opened upward via Twitter (free subscription via RSS), including Demand/Supply; novel highs/lows; as well as the tendency deportment of stocks.

One detail indicator that I volition last watching carefully is the release of stocks registering fresh 20-day lows; this oft expands ahead of meaningful stock marketplace corrections. At 274 on Friday, it is higher than levels from early on April, only good below the over 2000 fresh 20-day highs during the week.
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Info!! Sector Update For January 4Th

Last week's sector update establish continued make outflow weather condition for the 8 S&P 500 sectors that I rails alongside the Technical Strength indicator of short-term trending. With the pause higher upwards substitution resistance inwards the depression 900 degree on the S&P 500 Index, the Technical Strength readings looked quite dissimilar yesteryear Friday's close:

MATERIALS: +40 (86%)
INDUSTRIAL: +320 (98%)
CONSUMER DISCRETIONARY: +400 (95%)
CONSUMER STAPLES: +360 (93%)
ENERGY: +380 (100%)
HEALTH CARE: +460 (95%)
FINANCIAL: +20 (83%)
TECHNOLOGY: +320 (96%)

Clearly the tendency has turned upwards across the sectors, though Materials as well as Financial shares lag the group. The potent bounce amidst Technology as well as Consumer Discretionary shares suggests that recovery themes may last trumping recessionary ones to get-go 2009.

When nosotros expect at the per centum of stocks inwards each sector trading higher upwards their 20-day moving averages, equally assessed yesteryear Decision Point, nosotros tin meet the distinct intermediate-term uptrend next the breakout. Even amidst the 2 lagging sectors, the cracking bulk of issues are trading higher upwards their 20-day averages.

While the sectors are extended relative to those 20-day averages, nosotros are nowhere most overbought alongside honor to longer-term 50- as well as 200-day averages. If indeed nosotros stimulate got set inwards an of import bottom inwards November, nosotros should last able to back upwards a rally that would eventually accept us into overbought territory on a 200-day basis.

Note that I update Technical Strength figures each morn earlier trading days via Twitter; RSS subscription to the indicator as well as link updates is free.
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