Breadth is already below June SPX levels but price is not, bullish divergence.
QQQ may have another week of selling, three weeks down in a row on SPX,
due a bounce. This is nothing resembling the Feb. drop. Looking for 4000 by year end.
Posted 19 September 2020 - 01:37 PM
Breadth is already below June SPX levels but price is not, bullish divergence.
QQQ may have another week of selling, three weeks down in a row on SPX,
due a bounce. This is nothing resembling the Feb. drop. Looking for 4000 by year end.
Posted 20 September 2020 - 09:49 AM
You're probably right, but if everyone is betting on reflation/inflation, SPX @ 4000, $3000 gold and helicopter money as far as the eye can see, then who's taking the other side of the bet? Won't the boat tip over if everyone goes to one side? And would the death of the dollar not equate to the end of empire?
If most of the newly printed fiat has gone toward asset inflation, then could all that funny money not evaporate overnight from a simple black swan event? Poof! Money gone. Wealth effect gone. Hyperinflation gone. Dollar and empire strong. Banksters and kleptocrats bailed out. Again. Rinse and repeat. Considering the precarious state of the world, a black swan seems more likely than not.
Posted 20 September 2020 - 10:00 AM
Breadth is already below June SPX levels but price is not, bullish divergence.
QQQ may have another week of selling, three weeks down in a row on SPX,
due a bounce. This is nothing resembling the Feb. drop. Looking for 4000 by year end.
1-year cumulative breadth could go either way... with a catalyst, it could push upward out of this possible RH&S, or if not, it could absolutely break down:
2-year cumulative breadth:
5-year cumulative breadth:
Posted 20 September 2020 - 12:49 PM
Pretty stong divergence from June to August (red), which may have since played out (green). RSI threatens to cross back below the centerline and PPO threatens to kiss its signal line. For the short term, machinations of the potus and congress between now and month's end will probably be the determining factors.
Posted 21 September 2020 - 09:15 AM
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Posted 21 September 2020 - 09:18 AM
Thanks FIB two of the best breadth indicators
Posted 23 September 2020 - 02:38 PM