Do not expect any sort of a continued broad market surge
higher as long as the chart below looks the way it does.
Following yesterday's relief of oversold conditions, the broad
market is now more vulnerable to additional downside pressure. Our
certainty of lower stock prices in coming days will not cease until
the larger players who move the market stop selling. This will be
signaled when our money flow indicator (blue line) either
stabilizes or reverses its current trajectory.
Posted by sschulman on 7th of Mar 2012 at 11:07 pm
Thanks for that chart Zack06. I see it goes back 6 months since
Sept 1st 2011, and this is the first time on the chart that the
Money Flow has diverged so negatively. I'm curious what were
the other times like? ie What other times (even earlier than 6
months ago) was there a similar divergence and what happened then?
And if the SPY did eventually follow the MF and drop, what was the
time lag those other times?
Money flow by Tick Vs. SP500 index
Posted by zach06 on 7th of Mar 2012 at 10:09 pm
Do not expect any sort of a continued broad market surge higher as long as the chart below looks the way it does.
Following yesterday's relief of oversold conditions, the broad market is now more vulnerable to additional downside pressure. Our certainty of lower stock prices in coming days will not cease until the larger players who move the market stop selling. This will be signaled when our money flow indicator (blue line) either stabilizes or reverses its current trajectory.
very interesting chart
Posted by sschulman on 7th of Mar 2012 at 11:07 pm
Thanks for that chart Zack06. I see it goes back 6 months since Sept 1st 2011, and this is the first time on the chart that the Money Flow has diverged so negatively. I'm curious what were the other times like? ie What other times (even earlier than 6 months ago) was there a similar divergence and what happened then? And if the SPY did eventually follow the MF and drop, what was the time lag those other times?
.....Sooz
zach06, Nice chart on the
Posted by sethbru on 7th of Mar 2012 at 10:39 pm
zach06, Nice chart on the MF. Where do you get this info?
yep, we have to see
Posted by matt on 7th of Mar 2012 at 10:29 pm
yep, we have to see the MF turn back up, otherwise that will start to pull the market down.