Market Internals 2012-10-18

By Lawrence

The current snapshot of 3-Day Advance Issues, Tick16 Short Term + Long Term as of 2012 Oct 18 close.

DailyBreadth20121018

Reading

1. Long Term Tick16 (yellow line) in bearish zone

2. Short Term Tick16 (red line) travels back to neutral zone

3. 3 Days Advance Issues (green line) back to overbought zone

Inference

1. By #1 market still in trend sell mode

2. By #2 and #3 another swing top is likely in the making NOW

3. This top if produces a new low in price comparing to the mid October low while Short Term Tick16 and/or 3 Day Advance Issues producing a higher low, that could be a great swing low for a long play into year end.

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Comments
  • Lawrence Chan October 19, 2012 at 12:41 pm

    I posted this right on time for the drop today. LOL.

  • Lawrence Chan October 31, 2012 at 10:27 pm

    2nd time in NYSE history that it is closed for trading in past 50 years.

  • Lawrence Chan October 31, 2012 at 10:30 pm

    Breadth at critical zone.

    3-day adv issues back to neutral zone while LT Tick16 collapsed.

    It is extremely bearish. Somehow 2 days of mkt close created a panic scenario.

    Unless the close of this week snap the mkt out of a push down in breadth, we are on our way to new low again.

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