Screens of the cycle indicators on 583 stocks, ETFs and market averages strengthened along with the averages today.
Cycle and momentum indicators are strengthening modestly as the market inches toward a full test of the high. This could be the beginning of a 6 month cycle up phase. A couple of things would need to happen.
Cycle screening data strengthened moderately on Monday, supporting the gains in the market averages. The aggregate has yet to reach the level where it normally peaks. Another up day or two should do that. However, since the bull market began, prices have almost never peaked when this indicator first reached a peak after coming from…
The market slowed as it crossed a couple of longer term uptrend regression lines over the past two sessions, but that has kept short term indicators and 13 week cycle indicators on the buy side.
Cycle screening measures were stronger than the market averages for a change from the recent pattern. I have to wonder if this is a sign of real strength or another indication of the problem we’ve been having with these indicators lately.
The breather the market took today left an ambiguous picture. Most short term and 13 week cycle indicators have turned up. 6 month and 10-12 month cycle indicators are still pointing down.
Cycle screens are on the cusp of a big signal.
Breakdowns are just so passé any more. Last week’s horrible looking break of an “obvious” top pattern was, as feared, just another stupid pet trick by the Primary Dealers to shake loose the low hanging fruit.
Screening measures started to catch up with the gains in prices of the past couple of days in what looks like an ordinary rebound from an oversold level on the aggregate indicator, but not on the individual indicators.
The market continued its rebound without the support of confirming buy signals in any time frame.