Market Breadth

Yesterday saw the NYSE Bullish Percent Index ($BPNYA) reverse back to Xs for the first time since early April. Which now puts it back on Bull Confirmed status along with the other three P&F charts I focus on. So using a Dorsey football analogy; your team has possession of the ball in the middle of pitch and it's now your job to try to score in the end zone.

Here's the updated chart

Attached is the updated breadth charts, of which most have moved to Bull Correction status.

Attached is the updated P&F breadth charts. The short term NYSE Percent of Stocks Above 50 Day Moving Average ($NYA50R) moved back to Bull Confirmed status with Fridays price action, but the medium term charts are still in Bull Correction status. But all four are on a buy signal currently, so the breadth trend is up.

Here's this weeks cumulative weekly and daily Advance Decline charts and the weekly and daily New Highs New Lows charts. All of which favour the bulls currently as well.

Yesterday's price action moved the short and medium term breadth charts back to a column of Os and into Bull Correction Status. However, the 50 and the 150 are both very close to giving sell signals, and 150 made a lower high which isn't a good sign normally.

The short and medium term breadth charts both continued their move lower and gave sell signals and are now on Bear Confirmed status. Here's the charts:

Attached is the updated P&F breadth charts.

This weeks whipsaw has left a mixed picture on the breadth charts with the short term NYSE Percent of Stocks Above 50 Day Moving Average ($NYA50R) and NYSE Percent of Stocks Above 150 Day Moving Average ($NYA150R) reversing back to Xs after their earlier sell signal. They haven't broken a new double top yet, and so are still on the sell side for the time being, but the $NYA50R is only one box from a new buy signal, although it's moved into the upper portion of the chart, which indicates increased risk.



Another way I like to look at the breadth charts is as a line chart, so that I have a direct comparison with the S&P 500 price action. I've determined that a good buy signal is when the breadth line goes above the 30 week weighted moving average and manages to close the week with a higher high and also the moving average turns up. I've highlighted this with the green areas on the chart, and the opposite for a sell signal. Below is the chart which is still on the sell side and has yet to make a new move above the moving average, so it could take another month to get back to the buy signal, if it does at all that is, as it could easily continue lower from here as well as the trend is still down.

An intraday trend change on the S&P 500 (SPY) versus the US 30 Year Treasuries (TLT) 1 box reversal chart. So the trend has turned back in favour of equities again.