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Tag: NYMO

For about 6 weeks the market has moved higher. This momentum takes many indicators to extremely overbought levels. This typically leads to weak price action going forward.
Volatility in the US has exploded, throwing the markets into disarray. The intermediate-term trend is bearish, with extreme oversold conditions likely to produce sharp, but short-lived, rallies. We will look at some important indicators to see how oversold the markets are and what usually happens at times when markets sell off quickly.
We review common measures of volatility, breadth, volume and investor setiment to determine how much more of a pullback the US markets might witness.
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