Wednesday, February 1, 2012
Ask yourself, does it look like a top or a bottom........do you need a hint?
Below is a depiction of the Momentum of the ADVANCES and DECLINES by MR. NASTI, which reflects the entire Nasdaq markets movement, rather a broad take which gives us direction. This one bothers me as it shows the WIDTH and BREADTH of that that Market's advances slowing and heeling over, top heavy. I make NO predictions other than to say, this has been my most reliable indicator over the last say 15 yrs.
Lastly below, is a chart that is easily re-produced, and has 3 components, one of Trend, one of Momentum Within the Trend, and one of Volume. The MACD is as well a trend and timing indicator, so I include it for for your interest..........Here I use the Wilshire 5000 as it is very broad, and weighted as well, so I think a good reflection of what is actually happening in a Co-Incident Timing ( right up-to the moment).
I use it to determine relative position, not to predict, although position is important to attempt to guess at what is next.........