FINANCIAL ICEBERG
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 TECHNICALS
SP600 : Volume A/D:  Oversold Zone ?
​July 27 ( From Stockcharts )
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​The Situation
​
​​​We observed that the Volume Advance-Decline Percent of the SP600 
​​​( SP Small Capitalization - so less liquid - we took a simple moving average 
​7 days ​to smooth the data ) ​​tend to turn earlier -  be more sensitive than the
​SP500 as you may see in ​the chart below...

When it gets near or under -20, we are going into an oversold  ​territory​​ as at 
​the end of May and June of 2015..​.​
​
​​When it gets near or over +20, we are going into an ​overbought territory​​
​as in
mid-June and mid-July 2015.

​​Observe also that we came back near the 200 DMA ​( Day Moving 
​Average )
where past reversal occured. (​Bottom Panel Below - Ellipses.)  
​
This ratio is now within the oversold zone. And also the Bollinger 
​Band is getting below the 0 threshold level also associated with 
​market into oversold territory.
​( See Bottom Panel - Second Chart Below ).
​
The SP500 Index ( SPX ) is within a rising wedge and the Support Trendline is below the 200 DMA.
​( See Second Chart Below - Black Trendline ).




​

​








Louis Pasteur
"Chance favors the prepared mind." 



SP600 : Volume A/D:  Oversold Zone ?  $SPY #Trading #risk #investing #Emini #SP500 










SP600 Advance/Decline in Percent ( Dots - Right Scale  - 7 DMA Blue Line )

SP500 index ( Black Line - Bottom Panel - 200 DMA Red Line )​​
( Bollinger Band in % - Bottom Panel )​



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