NYAD Advance-Decline Line Daily Chart Uber Low Today Needs Market Bounce

NYAD received a beating today, dropping to an uber low under -2500. This area is very much in line where the broad markets need to bounce and recover. The selling got way too out of hand today so the market needs to snap back to recover. The green circles show significant tops. Note the +2500 numbers that advertised market tops. The recent top occurred at a a much lower value which is uncharacteristic. The red circles show significant bottoms like the early October low that started this five month market rally. The November bottom was also identified by printing an uber low at -2500.

The blue circles provide intrigue. Note how uber low numbers occurred, the blue circles, and market bounces occurred directly thereafter, and then the true low for the broad markets was placed one to two weeks later as shown by the red circles. Perhaps today's print at -2500 repeats the pattern? If so, markets will bounce about 25 to 50 handles.  The SPX closed at 1343 this evening, thus, a recovery bounce of 1368-1393 may be in order, but a hard reversal would occur again resulting in far lower numbers for the broad markets that would create a red circle.

March is just getting warmed up, the next ten trading days will be interesting. Projection is a move back up for markets, the SPX back up to previous highs, the NYAD printing a +2000 number above the green line, then markets roll over to place lows down towards SPX 1300, all this occurring over the next week or two. What a wild ride it would be.  If this plays out, feel free to call good ole Keystone a soothsayer. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here or any links connected to this information. Consult your financial advisor before making any investment decision.