NYSE New Lows- New lows need to spike to the highest they've been over the past couple of weeks.
NYSE Decliners/Advancers- There have been four instances (counting the past few days) where this ratio has been over 9. Look for multiple days in a row where this ratio is above 9.
NYSE Up Volume/ Down Volume- This is not quite as important, but still worth keeping an eye on.
VIX- The VIX also needs to spike to a recent high. We may not see it go to it's November levels (which I would welcome), but in order to see fear and a possible (short term) bottom, it needs to take out recent highs.
We are overdue for some type of bounce, and we could see it any day. Still, I would be skeptical of any rally until it got back above prior support.
NYSE Composite Index
Thanx for your comments. I've been lurking for a while.
ReplyDeleteWatching the market, I couldn't help but notice that a few stocks are doing much better than everything else. Namely GOOG and AAPL. Do you think these can buck the trend, or are they just the last hold outs tha will eevntually follow the market back down?
This would be for a trade not for an 'investment.' Whatever that means these days :-)
Hey Lysander, thanks for the comments.
ReplyDeleteI would be skpetical about any longs right here. With that said, Tech has been performing better than anything else, so when we do get a bounce it's likely that GOOG and AAPL outperform. Also if your interested in longs in technology, check out AMZN. It has a "high and tight" consolidation right now, somewhat of a flag formation. This is one name on my watchlist for when we do get that panic selling and make a (short term) bottom.
Thanx, Jason
ReplyDeleteI'll look into AMZN. Shortly after posting my question, GOOG warned that lean times are coming. I think most would have noticed that by now though.
But best bet is to wait a while, I think. Todays bounce was way weaker then the post crash October and November bounces, giving up a good portion of their gains towards the close. I'm guessing tomorrow wont see much follow through and possibly a sell off before Unemployment numbers on Friday.
Good Luck