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SP TSX60 Index: At Crossroads ?
October 12 ( From Stockcharts )

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The Situation

Interesting to follow the indicator of the SP TSX60 Composite Percent
of Stocks above the 50 DMA ( Day Moving Average ) as it may gives us
someclues about some market tops and bottoms.

This Indicator reached only 9.7% on August 25 2015, the lowest spot
level since August 8 2011 and far away from the last record level on
February 18 2015 at 78.0% when the TSX60 Composite Index was
then at 886.47.

The main technical indicators like the moving average (7DMA) of the
SP TSX60 Composite Percent of Stocks above the 50 DMA are showing some sign of bullishness since
October 2 2015...

This indicator turned on a bullish trend and now stand at 74.09% (55.18% for the 7 DMA - Day Moving Average)
as you can observe on the first chart below.

But getting over the 70 treshold on that Indicator ( now at 74.09 - Thick horizontal line - chart below ) have been in the past a first warning sign of overbought conditions building up.

Also observe the divergence pattern between the SP TSX60 Composite Percent of Stocks above the 50 DMA and the TSX Composite Index ; Almost reached the highest ever on the Indicator and the TSX60 did not even break the Major Resistance Trendline that started back in April 2015. ( See 3rd Chart - Thin Black Line - Ellipse ).

But the most interesting technical factor is that my TSX Trendicator is also reaching previous toppish zone for the TSX60; July 13, September 2 and now.

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SP TSX60 Index: At Crossroads ? $TSX #Trading #Canada #investing #tsx60

SP TSX60 Composite % of Stocks above the 50 DMA ( Top Panel - Dots )
7 DMA ( Blue Line )
TSX Index ( Bottom Panel )
50 DMA ( Blue Line )
200 DMA ( Red Line )

Financialiceberg.com

TSX Index
50 DMA ( Blue Line )
200 DMA ( Red Line )

Financialiceberg.Com