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TSX Index Bull%: Weakest Bull Sentiment of the past 5 Years ?
August 31 ( From Stockcharts )

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The Situation

This Indicator reached only 25.9% on August 26 2015, the lowest spot level of the
past five years and far away from the last record level on August 22 2014 at 84.4%
when the TSX60 Composite Index was at 892.71.

The main technical indicators like the moving average of the Bullish Percentage Index
of the SP500 Index are showing some sign of bearishness since May 29...

This ratio turned on a bearish trend since May 29 and now stand at 47.58%
(49.60% for the 7 DMA - Day Moving Average).

That Indicator is in bearish mode and below from previous bottom
level reached on October 2011 as you can observe on the chart below.

But getting over the 200 DMA on that Indicator ( now at 56.93 - red line chart below ) have been in the past a first warning sign of overbought conditions building up. ( See chart below - ellipses )

Also observe the divergence pattern between the % Bullish Index and the TSX Composite Index ; higher highs in May 2015 from the Index but no higher highs from the TSX since May 2015.

We broke the Support Trendline from a Rising Wedge on the TSX at the beginning of May 2015..
( See 3rd Chart - Thick Black Line ).

The TSX is still within a downtrend channel that started back in April 2015 and in a dead cat bounce from oversold condition on a short term basis Mainly because of my TSX Trendicator was getting below the 3.0 level.. ( See 2nd Chart - Thin Black Line - Ellipse ).

On July 24, we did have the 50 DMA ( Day Moving Average ) getting below the 200 DMA: a Death Cross Technical Pattern. ... ( See Bottom Chart -50 DMA ( Blue Line ) 200 DMA ( Red Line ) - Ellipse ).

But the most interesting technical factor is that we broke on August 20 a Major Support Trendline that started back in October 2014 on the TSX: it becomes then a strong resistance... ( See 3rd Chart Below - Thick Black Line ).

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TSX Index Bull%: Weakest Bull Sentiment of the past 5 Years ? $TSX #Trading #Canada #investing #tsx60

TSX Index Bullish % Index ( Top Panel - Dots )
7 DMA ( Blue Line )
200 DMA ( Red 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