Today 1/10/17 the divergence between the SPX and NDX continued as the NDX and main Nasdaq Composite (IXIC) made new highs that were unconfirmed by SPX and DJIA.
This is a sign of thinning market breath. The situation is actually much more bearish if you drill down and examine new 52- week highs.
Nasdaq Composite new highs on 12/8/16 were 562 1/5/17 190 1/6 122 1/9 93 1/10 96
The higher the Nasdaq goes, less stocks are making new 52 - week highs.
The internal strength of the US stock market is very weak. There is a high probability a decline to at least the November 4th bottom could begin on 1/11/17
Mark
Komen
sarquax
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Hi,
So you're saying the better the NASDAQ, the worse the SPX will behave?
The main Nasdaq would be the last of the three main US stock indices to reach a rally high.
In 2015 mid-May the DJIA, ,SPX and IXIC made 2015 rally highs. Then in July IXIC made a new high while the DJIA and SPX failed to make new 2015 highs.
A few weeks later was the August 2015 mini crash.
Mark
Reekardo
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nice- i like it. so far, the direction is potentially up until opex - after jan 20, all gains will come off the table
@markrivest, look at futures hold 2159 - unfreking believable... they are going to slaughter the market when trump is in the office.
if he ever makes it there.
So you're saying the better the NASDAQ, the worse the SPX will behave?
Thank you