Momentum Top Last Week?
By
Rennie on Wednesday, October 20th, 2010 at 9:35 pm
With the S&P500 rallying back to almost exactly the same level from one week ago (10/13), I thought it would be useful to review the internal health of the market now vs. one week ago. While price is unchanged, many gauges of market internals are considerably weaker…
Total number of new 52-week highs… 270 vs. 649 on 10/13
Number of new 20-day highs across all exchanges… 788 vs. 2003 on 10/13. This is based on barchart.com’s new database of high/low data that excludes all non-common stocks (ETF’s, CEF’s, etc…). Our chart has been updated to reflect the revised data.
Number of new 20-day highs among S&P500 components only… 108 vs. 237 on 10/13.
Percentage of stocks over their 20-day moving average… 70% vs. 84% on 10/13.
Number of SPX components that closed over their upper bollinger band… 39 vs. 75 on 10/13.
Also interesting to note this chart of cumulative up – down volume (utilizing only volume among SPX components) put in a top on 10/13 and has since registered a series of lower highs. This indicates there’s been considerably more volume in declining stocks the last five sessions. This chart and a number of other SPX component charts will be debuting on the site over the next couple of days.
All of the above statistics tell a similar story. The stock market appears to have put in a momentum top last Wednesday, and now we’re challenging that top with far fewer stocks participating in the advance and greater volume in stocks moving lower. That’s not a healthy sign.
Momentum Top Last Week?
By Rennie on Wednesday, October 20th, 2010 at 9:35 pmWith the S&P500 rallying back to almost exactly the same level from one week ago (10/13), I thought it would be useful to review the internal health of the market now vs. one week ago. While price is unchanged, many gauges of market internals are considerably weaker…
Total number of new 52-week highs… 270 vs. 649 on 10/13
Number of new 20-day highs across all exchanges… 788 vs. 2003 on 10/13. This is based on barchart.com’s new database of high/low data that excludes all non-common stocks (ETF’s, CEF’s, etc…). Our chart has been updated to reflect the revised data.
Number of new 20-day highs among S&P500 components only… 108 vs. 237 on 10/13.
Percentage of stocks over their 20-day moving average… 70% vs. 84% on 10/13.
Number of SPX components that closed over their upper bollinger band… 39 vs. 75 on 10/13.
Also interesting to note this chart of cumulative up – down volume (utilizing only volume among SPX components) put in a top on 10/13 and has since registered a series of lower highs. This indicates there’s been considerably more volume in declining stocks the last five sessions. This chart and a number of other SPX component charts will be debuting on the site over the next couple of days.
All of the above statistics tell a similar story. The stock market appears to have put in a momentum top last Wednesday, and now we’re challenging that top with far fewer stocks participating in the advance and greater volume in stocks moving lower. That’s not a healthy sign.