Posted 22 July 2007 - 09:46 PM
Hi everyone, the following chart depicts the number of INDU stocks making new highs on higher volume versus the number of INDU stocks making lower lows on higher volume compared to the daily INDU. The number of INDU stocks making lower lows on higher volume rose sharply while the number of INDU stocks making higher highs on higher volume dropped sharply indicative of the nature of the "weighted INDU engineered run up" in a selected group of Dow 30 "heavy hitters" and the increased selling pressure and decreased buying pressure in the DOW 30 stocks.
The following chart depicts the number of INDU stocks making new highs and new lows without regard to volume compared to the daily INDU. The number of INDU stocks making new highs during the INDU "rally" to new all-time highs has dropped sharply while the number of INDU stocks making new lows have risen sharply.
Cheers,
Bob-C
Disclaimer: None of my posts are meant to be taken as investment advice or trading advice. Do your own due diligence and consult your financial advisor before making any trades or investments.
