Always consider hidden risks
ETF s Volume Adv/Decl: Overbought Zone ​?
October 9  ​( From TradingView  )
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​ETF s volume account now for more than 15% of total volume on
​the stock ​exchanges. It now influence tremendously the market ​
​making​ new highs or ​new lows....

​​ONE chart below is worth a look where we will show the ratio of
​the ​ETFs Advance​ Volume compare to the ETF s Declining Volume
​​to the US Stock Market.
​(  Bottom Panel of the Chart )...

And since September 29, that ratio started strenghtening ( 7 DMA ),
​indicating ​more participation from ETFs (  Retail Participants ) and ​reached on October 8 the Overbought Zone.​ In fact, the last time we had the 7 DMA of that ratio at that Overbought level was back on February 13 2014.
​(Chart Below - Top Panel -  Blue Line - Ellipse)​

​One very interesting factor is that the ETF s Volume Adv/Del did not confirm the previous top from the Mighty SP500 Index done on September 17 2015; Technical Divergence we have indeed.
​(Chart Below - Top and Bottom Panel - Ellipses)​

But the most interesting technical factor is that the ​ETFs Advance/ Decline​ Volume is within the overbought level as we are near a Major Resistance Trendline from a Rising Channel on the SP500 Index around 2025.
​​​​( Chart Below - Bottom Panel -Ellipses )

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ETFs Advance Volume
​ETF s Declining Volume

​( Moving Average 7 days ( Blue Line ))
and SP500 Index​ ( Bottom Panel = Candles )
ETF s Volume Adv/Decl: Overbought Zone ​?   $SPY   #Trading #investing #etf #SP500