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MM

Market Monitor 2019


Stockbee Market Monitor is breadth based market timing tracker. Extremely positive/negative breadth is used for market timing.

Post explaining how to use this information:

How to use market breadth to avoid market crashes 

62 comments:

Phillip K. said...

What is the second to last column, "T2108"? Thanks!

Phillip K. said...

What is the purpose of the second to last column, "T2108" and how is it calculated. Thanks!

Pradeep Bonde said...

% of stocks above 40 day moving average. Readings below 20 lead to botoms

louie colobong said...

From the market monitor how do we know if the approaching correction is a major correction (say 10% or more) or a minor one (less than 10%)? Btw thanks a lot for sharing you knowledge through this blog. I have learned a lot and elevated my trading skills to the next level.

Pradeep Bonde said...

If you see major breadth deterioration and series of 700 plus days on 4% plus down then it is likely to develop in to larger correction.

Phillip K. said...

Can you explain what the "5 Day ratio" and the "10 Day ratio" calculates?

Pradeep Bonde said...

It is ratio of 5 days of 4% b/o /5 days 4% b/d same for 10 days using 10 day data.

Stock Jaguar said...

From where do you gather the data to calculate these? ie, no of stocks below 4% in a week etc. Thanks,

Pradeep Bonde said...

From Teechart data base.

ANS said...

Hello Pradeep,

Today's data (row) is not showing up. Is there any way to fix it? I'm not sure if the 10 day ratio has gone below 0.5 or not, though maybe close. Can you please let me know?

Thanks,

Pradeep Bonde said...

updated. the ratio is approaching .5

ML said...

are the large number of red bars on "Number of stocks up 50% + in a month" showing near market top? how much time do you think before the bull rest/pause? weeks/months? thanks.

Pradeep Bonde said...

In next smaller time frame a pullback likely.

M Lent said...

now that we are at the other extreme, what are you watching to 'confirm' a bullish bias? more green bars, 5 day or 10 day ratio turning to 1 or do you want to see more selling extreme like maybe 1000+ on 4%+ down day before believing the market will turn around?

Pradeep Bonde said...

Signs of extreme bearishness in Primary indicator. If I see number of stocks up 25% in Q below 300 I will be bullish. At the moment not enough bearishness.

M Lent said...

now that most the pundit are saying it is a 'great' time to buy at bargain so we might see a short term bounce don't you think?

Pradeep Bonde said...

Yes

ML said...

is the market back to normal already? no need to see extreme reading on the primary indicators?

Keith G said...

Hi, can you tell me what is the calculation for the 5 days of 4% b/o /5 days 4% b/d? What is criteria for numerator, and what is criteria for denominator?

Thanks!!

Keith

Pradeep Bonde said...

total of 5 days 4% b/o divided by total of 5 days 4% b/d

Keith G said...

Thank you. What is the input criteria for the 4% b/o and 4% b/d scans?

Pradeep Bonde said...

Search on the site I have posted my scans for all Market Monitor fields.

ML said...

in your experience when 25% plus quarter go below 200 indicates a good time to buy the dip?

Pradeep Bonde said...

yes

ML said...

when you see 5 day ratio and 4% up/down day oscillating between plus and minus, is that an indication that more trouble ahead?

Pradeep Bonde said...

no

Tommy said...

Holy Cow,.....in the years I have been keeping my MM, I have not seen the Primary Ratio this low, in fact I thought it was already extreme, but yesterday was record....means should be a bounce, "Load the Boat," but in what???
@7

Pradeep Bonde said...

TQQQ , TNA and beaten down index component stocks

ML said...

now that we got >1000+ day... do you need to see more >500 days before you are convince the buyers are back?

Pradeep Bonde said...

no.

shyam said...

What is the yellow color significance to 12/24/18 day. It resulted major reversal next day!!!

Pradeep Bonde said...
This comment has been removed by the author.
Pradeep Bonde said...

Half day trading

Tommy said...

Another follow through day Friday on MM. It's exciting to see what's been "noted," materialize in MM. While most are bombarded with doom and gloom, the flip materialized just like was made to do. @7

shyam said...

Oh, ok. Noting to do with market state. I was wondering if it was indicating something!

shyam said...

Looks like market is ready to move up from here next week or two.

shyam said...

May be spoke too soon. I see that T2108 column has very high readings in 80'a range. Does this mean it is overbought and due for normal pullback or consolidation? Or can it continue to rally for another week or two as I was saying earlier in spite of this?

Pradeep Bonde said...

Yes. Abnormal strength tend to resolve in consolidation or pullback

ML said...

is the pullback or consolidation after abnormal strength a good entry point? if b/o above the consolidation point, kind of like your anticipation trading.

Pradeep Bonde said...

yes

shyam said...

T2108 consistently above 85LEVEL and still market continuing higher looks like rare thing happening. I haven't seen these numbers even during 2017 Q4 strong run up or even before. Did anything change in calculating this attribute or market is just too strong this
time? I was thinking market is ripe for some kind of counter trend multiday level pullback, but don'e see it!!!

Pradeep Bonde said...

Excessively positive breadth is not immediately bearish. Unlikely excessively bearish breadth, which gives very good signal on bullish side , excessive positive has no good signalling record.

Tommy said...

We seem to be in uncharted territory here, breath numbers off the chart, stay cautious but some very nice set upa taking place. Trade price action not a bias, trade chart set ups, not a market condition, place a tight stop.

shyam said...

Yes, looks like melt up setup next week at least for a week on trade optimism and then probably pullback from march 1st week.
Next 5 days should be what I call, UUU_UP phase (unthinkable, unimaginable, unbelievable move up == melt up) Just blindly trade it if it happens and quickly exit as soon as it is done!

Tommy said...

Don't predict market direction, just trade set ups with tight stops as market is at extremes. Look for set ups.
@7

shyam said...

Hmm, Market looks like changed it's mind. Multi-day pullback coming, finally!

Tommy said...

Again, don't predict any direction, trade your charts and set ups,..tight stops if you aren't comfortable with market direction. You must trade the chart set ups, and watch price action. @7

NIO said...

PLEASE FIX COLOR OF 5 DAY RATIO COLUMN. SHOULD BE GREEN IN ABOVE 2.0

NIO said...

THANK YOU FOR FIXING 5 DAY RATIO COLOR. I THINK IT WOULD BE AND SMOOTHER AND MORE USEFUL FOR TRADING IF ABOVE 1.5 IS GREEN INSTEAD OF ABOVE 2.0

Pradeep Bonde said...

thanks for your suggestion. I do not really use it for trading unless it is at extremes

shyam said...

Looks like market is ready for multi-day move up next week.

shyam said...

Looks like market ready for multi-day move down for few days next week.

shyam said...

Hmm, looks like already bottomed and ready to run up again!

shyam said...

Looks like melt up setup for next couple of weeks to form some kind of top and then pull back start from 04/20.
It is hard to trade setups like this melt ups from overbought condition. Anybody has any tips, just in case this turns out
to be true.

shyam said...

Hmm, slowly grinding up for melt up next week or ready to start multi-day pullback next week? Next week will be interesting.

Tommy said...

Read the trend of the indexes, are they up, down, or sideways,....find your set up,...either anticipate or wait for open,...no predictions, that will get you in trouble and create a bias.

shyam said...

Yup, that is what works!!! I was just trying to come up with most likely next Multiday Level moves with anticipation for it,
not a prediction, and trying the setups within that anticipated moves. From 03/11 until now I was mostly trying to LONG the
setups and most of the times they are working out. Not sure how long this will continue!!!

shyam said...

And as I trade futures only they make decent profits in the given just few days time when right, usually 3-5 days and exit and look
for next setup. More work on daily basis but also decent profits within short period of time!

shyam said...

I thought we are done here. But looks like another multiday up swing for next 1-2 weeks to new all time highs and then well deserved multi-week pullback after that.

shyam said...

Oh ok, That was a trap. We were really done that day on may 4th for next 4 weeks!!. Now is the time for starting upside in next 1-2 weeks for a period of minimum 4-6 weeks. Let us see how this forecast plays out.

shyam said...

that was a good start!

shyam said...

Good follow through too. May be next 2-3 weeks upside continue.