Even though stocks may seem overbought and ripe for a correction, there are simply no signs of concerted selling pressure in the market right now. We saw a 3-4 day decline last week and a one day decline on Monday, but both were followed by sharp advances. As such, the AD Line and AD Volume Line now have clear support levels to watch for signs of a trend reversal. The Volatility Indices were, well, volatile over the last two weeks. Both surged last week and on Monday, but the overall downtrends remained in place as resistance ultimately held. See the About Page for more on Art's Chart and this indicator summary.
- AD Lines: Bullish. The NYSE AD Line hit a new 52-week high this week and the Nasdaq AD Line remains in a firm uptrend.
- AD Volume Lines: Bullish. The Nasdaq and NYSE AD Volume Lines remain in clear uptrends with support from the January lows.
- Net New Highs: Bullish. The Net New Highs rebounded the past week and the Cumulative Net New Highs Lines hit new highs.
- Bullish Percent Indices: Bullish. All Bullish Percent Indices are above 50%.
- VIX/VXN: Bullish. The S&P 500 Volatility Index ($VIX) and the Nasdaq 100 Volatility Index ($VXN) bounced around, but never followed through with resistance breaks and trend reversals.
- Trend Structure: Bullish. DIA, QQQQ, IWM, SPY and MDY recorded new 52-week highs just a few weeks ago and continue rebound after relatively short pullbacks.
- SPY Momentum: Bullish. MACD(5,35,5) and the Aroon Oscillator are still well above the zero line. RSI rebounded off the 40-50 zone to keep this indicator in bull mode.
- Offensive Sector Performance: Bullish. The offensive sectors surged as well this week, but a couple of defensive sectors stole the show with breaks above their February highs (healthcare and utilities).
- Nasdaq Performance: Neutral. The Nasdaq has been underperforming the NY Composite ($NYA) since early January.
- Small-cap Performance: Bullish. After taking a big high in January, small-cap performance surged over the last five weeks.
- Breadth Charts (here) and Inter-market charts (here) have been updated
This table is designed to offer an objective look at current market conditions. It does not aim to pick tops or bottoms. Instead, it seeks to identify noticeable shifts in buying and selling pressure. With 10 indicator groups, the medium-term evidence is unlikely to change drastically overnight. Previous turns include: Positive on 11-Sept. Negative on 5-February. Positive on 5-March. Negative on 11-June. Positive on 18-June. Negative on 24-June. Positive on August 6. Negative on August 13. Positive on September 3.
