Stock Market Viewpoint

Stock Market Viewpoint
Reading the Tea Leaves...

Tuesday, January 5, 2016

NYSE: The Eeriest Chart of All

The similarities of the previous bull market run and the current one have been documented many times on all the indexes but I would like to focus on the $NYA, representing all of the stocks traded on the New York Stock Exchange.  The upper chart shows the red uptrend line of the current bull market and the lower chart shows the red uptrend line of the previous bull market.

I have plotted six points at the end of both bull markets.  The similarities between the two is truly remarkable.  However, the current bull market had the eight months of gratuitous market propping that every professional trader is well aware of (shown with the pink square).  If you clip that eight month period out and reconnect the trading bars, points 1-7 of the previous bull market and points 1-7 of the current bull market, they show to be almost perfectly identical.  

Just something to think about...

Trade well my friends


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