Ian Woodward's Investing Blog

The Stock Market Indexes are back to a “Rounded Top”

This Market is very similar to that we had back at the Start of the Year in early January…a Rounded Top:

Rounded Picture

…And here is the picture to prove it:

Rounded Indexes

The Canaries are pausing to Refresh, but are holding up nicely with AAPL, FB, GOOGL and PCLN leading the way:

Rounded Canaries

The Drummers Drumming Chart shows that we are 6 Days into a down move, and we should expect the Markets to continue down:

RoundedDrummers

…And this chart shows that the odds are still to the downside for %B to come down through the Bandwidth before going up again:

Rounded Bandwidth

The Market took a Major Hit on Friday with the S&P 1500 down 3.7 buckets and should still head down early next week:

Rounded Pat

If you didn’t feel the bias for the Markets is downwards, then hopefully this chart will convince you:

Rounded abcde

Now for the Jobs Report for February which is still showing improvement at around the 300,000 mark:

Rounded Jobs 1

Rounded Jobs 2

Keep your powder dry and have a good week.

Best Regards,

Ian.

2 Responses to “The Stock Market Indexes are back to a “Rounded Top””

  1. Paul R Says:

    Ian you started day 1 of the current down count on 2/27. Is the because the %B dropped into bucket 6?

    As you know I’ve been keeping a similar chart of the %B, watching the movement this past week, the 17 days the drummers were drumming and the rounding of the indexes I lightened up nicely this week before Friday’s hiccup.

    A simple task each night up dating the spread sheet gives marvelous insight into the market.

  2. ian Says:

    Yes, Paul, that is absolutely correct. Once %B moves below 0.7, it is “Officially” on a down move. However, I do that so that there is consistency in the count. More importantly, there are no flies on you as I too watch for those few days prior to “smell out” what to anticipate as a likely outcome to come, especially when the prior up move has been more than 12 or more days. You are absolutely on the ball! Ian.

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