Market Monitor | stockbee


Market Monitor

  • Signs of trouble in the numbers. Many things are pointing to weakness or loss of momentum.
  • The breakout in Index had no follow through.
  • Stocks down 25% plus in 65 days is increasing as market is attempting to make new high. Not a good sign. Market is pulling back after making new momentum high as indicated by 20 reading on stocks up 50% or more, few days ago.
  • A pocket of downside momentum is developing in Financials and few retail sub sectors.
  • Stocks that have rallied in to earnings are breaking down . While some leaders are still clinging to their highs, many have had big down days in last one week. So far the earning season has been sell the news kind. Which probably indicates lackluster action till next earning season.
  • Small caps are showing weakness and loss of momentum.
  • McClellan Summation Index has made a lower high. This is the most troubling sign.
  • All these signs point to probably market heading back in to range. Market has been stuck in range for last couple of months. This situation can develop in to a correction lasting few weeks to months.

1 comment:

Stock Market Detective (SMD) said...

Good Warning to all to SELL but at least 80% of investors wait too long they have to see it with there own eyes since they always look through the rear view mirror when they do trade. The market is always looking through the windshield.

I can see it also a Major Market SELL here. I'll be looking to short the brokerage and banking stocks today they look like loosers.
QID (inverse of the market) also nice buy here.