As I was putting together my indicator review for the calendar week (which I'll post service tomorrow AM), I noticed how consistent the recent stock marketplace weakness has been:
* For half dozen consecutive sessions, nosotros convey had over 2500 stocks across the NYSE, ASE, in addition to NASDAQ making fresh 20-day lows. The highest publish of 20-day highs over that menstruum was 410.
* We convey had to a greater extent than stocks making 20-day lows than 20-day highs for twenty consecutive sessions.
I intend it's fair to nation that a rigid stock marketplace is 1 inwards which, over time, nosotros encounter to a greater extent than stocks making fresh 20-day highs than lows. Influenza A virus subtype H5N1 weak marketplace is 1 inwards which the publish of stocks making fresh lows outnumbers the publish making highs.
Above nosotros encounter the S&P 500 Index (SPY; bluish line) plotted against a cumulative business of novel 20-day highs minus lows from 2004 to the present. We tin halt encounter that the electrical flow marketplace forcefulness topped out inwards July, ahead of the Oct toll peak. We tin halt likewise encounter that the marketplace has been weakening since that time: the cumulative business of highs minus lows continues to fall.
One Definition of a deport marketplace is 1 inwards which lower prices neglect to attract buyers, leading to withal lower prices. If yous peruse the indicator reviews from the by several weeks, that is what nosotros convey been seeing.
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