Highs vs. Lows: Market Continues to Show Strength

Above we see the S&P 500 Index (SPY) plotted against the total number of new 20-day highs minus new 20-day lows for all NYSE, NASDAQ, and ASE stocks. Note how new lows hit their maximum point in mid-October and held well above that level as we made new closing price lows late in the month. Since that time, stocks have rebounded smartly, and new 20-day highs have steadily expanded versus new lows, confirming the uptrend. For the first time in a couple of months, we're now seeing new 20-day highs significantly outnumber new lows.

Comments

[sr9web:]

Bear market rally

2008 Nov 05 05:33 PM

[Matt Blackman:]

Brett
Just curious what a long-term chart of the above looks like during major bear markets like 1974-83?

2008 Nov 06 12:52 PM

[hownow:]

Did you check how this count held up historically..

..I would guess this would occur right about near the top of bear mkt rally. :)

2008 Nov 06 01:19 PM

[adan:]

really interesting, thanks brett

if you can do an update to include the past two very (price) down days soon, that's be really good to see too

thanks again

2008 Nov 06 09:42 PM