Sentiment Rolling Over

By | February 24, 2016

Sentiment generated from the Twitter stream for the S&P 500 Index (SPX) is rolling over from below the zero line again. This usually means a sharp fall in price. The odds now favor another test of recent lows before a significant rally.

160224spx

Breadth between bullish and bearish stocks on Twitter is showing a constructive pattern. During the recent rally we got a good increase in the number of bullish stocks. This indicates that buying is occurring in leading stocks. Keep an eye on this indicator (and the type of stocks in the 1 month bullish list) during this next dip. If it can hold up then I think we may be able to get a rally that makes it back to the 200 day moving average.

160224breadth

 

facebooktwittergoogle_plusredditpinterestlinkedinmail
Add Comment Register



Leave a Reply

Your email address will not be published. Required fields are marked *

*

* Copy This Password *

* Type Or Paste Password Here *

You may use these HTML tags and attributes: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>