Info!! What Nosotros Tin Cease Larn From Unique Breadth Data

Every day, I update dozens of spreadsheets amongst marketplace statistics, many of which are non unremarkably found.  My sense is that unique information incorporate the most durable edges.  

From the Barchart site, I rail the publish of stocks across all exchanges that brand fresh one-month highs as well as one-month lows.  Over the yesteryear year, when the publish of stocks making novel highs has been inward the operate yesteryear one-half of its distribution, the side yesteryear side 3 days inward SPY convey averaged a hit of .22% versus .06% for the remaining occasions.  When the publish of stocks making novel lows has been inward the bottom one-half of its distribution (few stocks making fresh monthly lows), the side yesteryear side 3 days inward SPY convey averaged a hit of +.23% versus .05% for the other occasions.

From the Index Indicators site, I rail the per centum of SPX stocks closing higher upward their five-day moving averages.  Over the yesteryear year, when that per centum has been higher upward 70, the side yesteryear side 5 days inward SPY convey averaged a hit of .46%, amongst 79% of occasions profitable.  When the per centum has been below 30, the side yesteryear side 5 days inward SPY convey averaged a loss of -.13%.

When nosotros encounter wide marketplace strength, has that led to farther forcefulness (momentum), or has it led to weakness (reversal)?  Knowing the authorities we're inward tin goal help us frame worthwhile hypotheses most marketplace behavior.  Those expire expert trades when nosotros encounter short-term flows lining upward amongst those ideas.  

Further Reading:  Capturing Value as well as Momentum inward the Market

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