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Could October turn into October after all?


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#1 diogenes227

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Posted 25 October 2017 - 06:09 PM

From the link:

 

 

If the general market keeps rising while long-term breadth keeps falling, more often than not, the market is running on empty.

 

This bull market has been trending so relentlessly up that it has been defying that notion and may again but today it did not.

 

The all-important long-term breadth signal I use has been falling for seven days and the Dow and S&P have continued to advance, getting to a point yesterday when it looked like once again this bull market would defy even its own narrowing internals. Heard a lot of “bullish forever” talk yesterday. Today’s pull-back is not that much but, given that any drop lately has been surprising, one must once again say this may be the one that drops the market of the sky like a clay pigeon.

 

For further discussion, a chart, and a look at FB, BABA, and TSLA:

 

OCTOBER, OCTOBER, OCTOBER

 


"If you've heard this story before, don't stop me because I'd like to hear it again," Groucho Marx.

I spent half my money on gambling, alcohol and wild women. The other half I wasted, W.C. Fields.

#2 Waver

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Posted 25 October 2017 - 09:10 PM

What do you use as a long term breadth indicator?

#3 diogenes227

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Posted 26 October 2017 - 12:39 AM

What do you use as a long term breadth indicator?

 

NYSI.


"If you've heard this story before, don't stop me because I'd like to hear it again," Groucho Marx.

I spent half my money on gambling, alcohol and wild women. The other half I wasted, W.C. Fields.

#4 diogenes227

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Posted 26 October 2017 - 09:23 AM

 

What do you use as a long term breadth indicator?

 

NYSI.

 

From the link:

 

 

So what has happened to stocks since the market’s sell signal (or short signal)?

 

Just some examples (see the chart panel below) – of the 10 stocks on my bellwether stock list, as of today’s close, nine are down, led by TSLA with a 9.1% short profit and BABA with a 5.1% profit. Nine stocks down. In seven trading days.

 

As NYSI goes, so goes TSLA, BABA, and all the rest...


"If you've heard this story before, don't stop me because I'd like to hear it again," Groucho Marx.

I spent half my money on gambling, alcohol and wild women. The other half I wasted, W.C. Fields.

#5 Waver

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Posted 27 October 2017 - 03:45 AM

Thanks for the reply. The link does not work. But I understand what you are saying.

Thanks again!