On a market up day (Monday), look at the NYSI dropped -73%, it tells everything of the market breadth.
Big drop on NYSI......
Started by
hopoco
, Feb 13 2018 02:38 AM
12 replies to this topic
#2
NAV
-
- Traders-Talk User
- 16,087 posts
Member
Posted 13 February 2018 - 06:03 AM
Good observation !
If we don't get a good breadth thrust on NYMO soon, the market will be in serious trouble.
#3
fib_1618
-
- Traders-Talk User
- 10,145 posts
Member
Posted 13 February 2018 - 07:57 AM
On a market up day (Monday), look at the NYSI dropped -73%, it tells everything of the market breadth.
Keep in mind that the McClellan Summation Index measures the trend of intermediate term market breadth. So very much like the up day as we had on Monday, the previous trending sequence of closes prior to Monday is still trending lower. But now that the McClellan Oscillator (the tool used to measure this same market breadth on a short term basis) has broken above "blip resistance" on Monday, we should see the MCSUM stall it's downside trend in the next couple of days.
Fib
Better to ignore me than abhor me.
“Wise men don't need advice. Fools won't take it” - Benjamin Franklin
"Beware of false knowledge; it is more dangerous than ignorance" - George Bernard Shaw
Demagogue: A leader who makes use of popular prejudices, false claims and promises in order to gain power.
Technical Watch Subscriptions
#4
Waver
-
- Traders-Talk User
- 802 posts
Member
Posted 13 February 2018 - 08:21 AM
Fib, what is blip resistance?
Thanks in advance.
Thanks in advance.
#5
fib_1618
-
- Traders-Talk User
- 10,145 posts
Member
Posted 13 February 2018 - 09:41 AM
Fib, what is blip resistance?
Thanks in advance.
"Blip resistance" is my reference to any failed attempts to re-establish market control that then leads to further declines or advances.
So if you look at the MCO chart shown below, I have circled the recent failed attempts of which the one from February 1st has now been broken. This then informs us that not only are the price lows in for this specific sequence (due to the added trigger of February 8th's divergence), but by extension, the sellers no longer have full control of the price pattern sequence being measured.
Fib
Better to ignore me than abhor me.
“Wise men don't need advice. Fools won't take it” - Benjamin Franklin
"Beware of false knowledge; it is more dangerous than ignorance" - George Bernard Shaw
Demagogue: A leader who makes use of popular prejudices, false claims and promises in order to gain power.
Technical Watch Subscriptions
#6
CLK
-
- Traders-Talk User
- 10,787 posts
Member
Posted 13 February 2018 - 10:22 AM
To me the summation is useless on a short term basis because it lags. Cumulative chart over long term is different.
Edited by CLK, 13 February 2018 - 10:22 AM.
#7
fib_1618
-
- Traders-Talk User
- 10,145 posts
Member
Posted 13 February 2018 - 11:23 AM
To me the summation is useless on a short term basis because it lags. Cumulative chart over long term is different.
Again, the MCSUM is an intermediate term timing tool...that of 4 to 12 weeks out.
And, again, the MCSUM measures this same intermediate term trend of market breadth so, yes, it would be useless as a short term timing tool.
Fib
Better to ignore me than abhor me.
“Wise men don't need advice. Fools won't take it” - Benjamin Franklin
"Beware of false knowledge; it is more dangerous than ignorance" - George Bernard Shaw
Demagogue: A leader who makes use of popular prejudices, false claims and promises in order to gain power.
Technical Watch Subscriptions
#8
hopoco
-
- Traders-Talk User
- 44 posts
Member
Posted 13 February 2018 - 12:38 PM
Thanks for all the information
