NYSE ADVANCE DECLINENYSE advance decline lower highs same as beginning of year in December to February.
ADVDEC.NY trade ideas
Weekly Preview 10/1/18 Stocks Growing..To The Downside October,.... the infamous month in stock market history
made notable for market crashes in 1929 and 1987.. is now here in 2018
The economy is booming,with near full employment, strong consumer confidence,
historically low interest rates and businesses reporting record earnings, quarter after quarter.
Hardly the type of environment for any caution, or so the bullish behavior of the crowd would seem to suggest.
The market's internal indicators often show you different pictures,
Divergences that are not seen in price indices
One such divergence is the Advancing/Declining Stock Ratio of Stock participation on the NYSE.
As shown in the chart included, the strength of participation,
at this point in the cycle by the cumulus number of companies hitting new highs
is clearly diverging from price, showing a divergence notable at historic price highs in the Dow+ S+P 500
The Advance/Decline Ratio peaked in January 2016, about 9 moths prior to the presidential election.
A measure of internal strength that simply put, shows.... that the number of stocks that are declining is growing !
Ignoring this trend if you are heavily vested in the stock market in October 2018,
could prove to be a very unwise thing to do in the fullness of time.
As they say, at some point, when no one is expecting it.."the chickens will come home to roost"
THE_UNWIND
