Above the 40 (March 8, 2017) – A Quiet Pre-Fed Breakdown for the Stock Market

AT40 = 43.3% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 = 60.5% of stocks are trading above their respective 200DMAs VIX = 11.9 (volatility index) Short-term Trading Call: neutral Commentary Times like these really put AT40 (T2108), the percentage of stocks trading above their respective 40-day moving averages (DMAs), to … Read more

The Surprising Implications of Periods of Extremely Low Volatility

The volatility index, the VIX, has closed below 11 for 2 straight days, 3 of the last 6, and 6 of the last 13 days. Source: FreeStockCharts.com These low levels of the VIX seem dangerously low, and I have labelled them as such in my recent “Above the 40” posts. Yet, I have discovered the … Read more

Above the Forty (AT40 – February 3, 2017): The S&P 500 Bids to End Bearish Divergence

AT40 Status: 60.3% of stocks are trading above their respective 40-day moving averages (DMAs) AT200 Status: 68.4% of stocks are trading above their respective 200DMAs VIX Status: 11.0 (volatility index) Short-term Trading Call: neutral Commentary Nothing says “strong sentiment” like a stock market that actually rallies on a strong U.S. jobs report: the fear of … Read more

Above the 40 (February 1, 2017) – A Deepening Bearish Divergence for the S&P 500 Tarnishes Apple’s Moment

(“Above the 40” uses the percentage of stocks trading above their respective 40-day moving averages [DMAs] to assess the technical health of the stock market and to identify extremes in market sentiment that are likely to reverse. Abbreviated as AT40, Above the 40 is an alternative label for “T2108” which was created by Worden. Learn … Read more

T2108 Update (January 30, 2017) – Disruption Junction Beckons S&P 500 Bears

(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about T2108, see my T2108 Resource Page. T2107 measures the percentage of stocks trading above their respective 200DMAs.) T2108 Status: 53.9% T2107 Status: 65.4% VIX … Read more

T2108 Update (January 24, 2017) – Bullish Writing On the Walls…With Footnotes

(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more

T2108 Update (January 19, 2017) – Inauguration Eve Draws More Bearish Divergence

(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more

T2108 Update (December 30, 2016) – From a Roar to Caution: The S&P 500 Tentatively Steps Toward 2017

(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more

T2108 Update (December 23, 2016) – Caution Emerges As the Trump Rally Leans On the Santa Claus Effect for Rest

(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more

T2108 Update (December 6, 2016) – The S&P 500 Flirts With A Major Overbought Breakout

(T2108 measures the percentage of stocks trading above their respective 40-day moving averages [DMAs]. It helps to identify extremes in market sentiment that are likely to reverse. To learn more about it, see my T2108 Resource Page. You can follow real-time T2108 commentary on twitter using the #T2108 hashtag. T2108-related trades and other trades are … Read more