The current snapshot of S&P 500 3-Day Advance Issues, Tick16 Short Term + Long Term as of 2012 Dec 19 close.
Reading
1. Long Term Tick16 (yellow line) cleared neutral zone and zoomed to straight up to overbought area
2. Short Term Tick16 (red line) divergence against price for about a month now
3. 3 Days Advance Issues (green line) popped back up to overbought zone
Inference
a. #1 in trend buy mode. That means coming several selloffs can be bought on swing basis. A potential long term top in the making with time window of about 3 to 6 months.
b. #2 points to a top in the making but it will be used up when the red line drops back below neutral zone
c. #3 in the context of #1 points to a pullback in the making
Last update predicted the powerful upside push correctly
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Market Internals 2012-12-19
My monthly update on market internals.
The current snapshot of S&P 500 3-Day Advance Issues, Tick16 Short Term + Long Term as of 2012 Dec 19 close.
Reading
1. Long Term Tick16 (yellow line) cleared neutral zone and zoomed to straight up to overbought area
2. Short Term Tick16 (red line) divergence against price for about a month now
3. 3 Days Advance Issues (green line) popped back up to overbought zone
Inference
a. #1 in trend buy mode. That means coming several selloffs can be bought on swing basis. A potential long term top in the making with time window of about 3 to 6 months.
b. #2 points to a top in the making but it will be used up when the red line drops back below neutral zone
c. #3 in the context of #1 points to a pullback in the making
Last update predicted the powerful upside push correctly
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