Christopher Wal...'s  Instablog

Christopher Wallace
Send Message

Managing Director - CCC Investment Banking

  • AD Line Says New Highs Coming 2 comments
    Feb 12, 2014 10:15 AM

    Just when you thought this 59 month old bull market was finally coming to an end, it does a 180 degree turn and heads back up. Ms. Yellen's dovish stance and great numbers out of China are trumping weak jobs data. Is this a reaction bounce, soon to be followed by a resumed down-trend? or are we on our way back to new highs?

    Throughout this bull market, the Advance-Decline Line (AD Line) has been a great indicator. As long as it remains in its uptrend, the market will too.

    The AD Line has continually made higher highs, ultimately indicating new highs on the S&P 500. If we narrow the focus, and look at the chart below which shows a six month time frame, we can see that the AD Line has made a new high:

    That new high in the AD Line suggests a new high in the S&P is soon to follow. Don't count this market out until the AD Line makes a lower low. As long as that 54000 level is not breached, the AD Line says keep buying the dips.

Back To Christopher Wallace's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (2)
Track new comments
  • TruffelPig
    , contributor
    Comments (4208) | Send Message
    First line: replace bear by bull I think.
    12 Feb 2014, 10:18 AM Reply Like
  • Christopher Wallace
    , contributor
    Comments (1325) | Send Message
    Author’s reply » Whoooooooooooops! Freudian slip?? Thanks Truffle, I'll get that changed!
    12 Feb 2014, 10:23 AM Reply Like
Full index of posts »
Latest Followers


  • $XCO Brutal day. A great mgt team but a near impossible task with so much debt. Debt for equity swaps coming?
    May 13, 2016
  • $GDX at lowest value since ETF was created in 2006. Low during 2008 recession was $15.43.
    Jul 20, 2015
  • $GDX $GLD looks like capitulation. Going speculative long both. Miners look particularly attractive.
    Jul 20, 2015
More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.