BPSPX Bullish Percent Daily Chart Currently Market Bearish

The BPSPX is one of Keystone's fave tools to follow. The 30% and 70% levels are key. The six percentage point reversals are key as well. A new market trend is established when the BPSPX reverses six percentage points. When the BPSPX moves up thru the 30% level it shows that markets are coming out of the duldrums and the bulls are running.  When the BPSPX slices down thru 70% it shows that markets are crumbling lower with the bears running strong. Whoopsies, daisies. BPSPX printed 69.60 losing the 70% level.

Looking back, the November sell off bottomed after Turkey Day with the BPSPX moving from 51 to over 57 announcing the bulls back in command.  Markets did inded run higher into April of this year. As of early April, the six percentage point reversal kicked in and the bears assumed command. The markets have moved lower ever since and now step two in the process, where the 70% level is lost, just occurred. Thus, the market bears are feeling pretty good about all this.  Note, however, that the thin green lines on the right side of the chart clearly show positive divergence (lower price but all the indicators are sloping up), which wants to see price bounce back up.  Note the little hitch in price action as the year began at 67.5, so watch this level which may coordinate with where the markets perform a recovery bounce now.

In a nutshell, the BPSPX is in the bear camp since early April signaling down markets ahead and now turning even move bearish as the 70% level is lost.  Watch to see if the bears continue lower staying under 70 which will correspond to the broad indexes continuing to sell off. The bulls need to move the price back above the 70% level and try to perform a six percentage point reversal to say, 75-77, to get their mojo back.  This information is for educational and entertainment purposes only.  Do not invest based on anything you read or view here. Consult your finanical advisor before making any investment decision.