NDX adds evidence a larger correction is underway

With today’s ugly price action so far, the larger correction we’ve alluded to last week, see here, and even already a month ago: see here, is now taking hold. Note that neither the NYA nor the SPX have gone anywhere over that time frame: forewarned is forearmed and many of our members -including our trading…

Is the S&P500 about to drop ~100 points?

Last week we showed that the A/D line was negatively diverging signalling further market weakness. As expected, the S&P500 ended the week down and lost ~50p intra-week. Nothing earth shattering, but proving our point in that keeping an eye on what the A/D line is doing is important. Since that’s now water under the bridge,…

A/D line giving warning signals?

The advance/decline line (A/D) plots changes in the value of the advance-decline index over a certain time period -daily, weekly, or even monthly- and is used to confirm the strength of a current trend and its likelihood of reversing. If the slope of the A/D line is up and the market is trending up too,…