We get a count of the Very Strong Leadership stocks and a count of the Very Weak Stocks in the Broad Market. From this data, we subtract the number of Very Weak Stocks from the number of Leadership stocks.

The result shows if Leadership stocks are growing faster than the broad market (a rally condition), or if Leadership stocks are falling relative to the broad market (a negative condition). (In market corrections, the Strong to Weak number goes Negative indicating that Weak Stocks have outnumbered the number of Strong Stocks.)

On Friday, June 6th., the Very Strong Leadership stocks went Negative. (They were outnumbered by the number of Very Weak stocks.). Friday's negative down move on this ratio was a negative for the markets. (More extensive charts on this are found on our paid subscriber sites, including whether or not Institutions are in Distribution or Accumulation now. Institutions typically move to Distribution BEFORE the Very Strong Leaders move to a negative condition. - This chart and study will not be posted again for a month on this Free site.)

By Marty Chenard
http://www.stocktiming.com/

Please Note: We do not issue Buy or Sell timing recommendations on these Free daily update pages . I hope you understand, that in fairness, our Buy/Sell recommendations and advanced market Models are only available to our paid subscribers on a password required basis. Membership information

Marty Chenard is the Author and Teacher of two Seminar Courses on "Advanced Technical Analysis Investing", Mr. Chenard has been investing for over 30 years. In 2001 when the NASDAQ dropped 24.5%, his personal investment performance for the year was a gain of 57.428%. He is an Advanced Stock Market Technical Analyst that has developed his own proprietary analytical tools. As a result, he was out of the market two weeks before the 1987 Crash in the most recent Bear Market he faxed his Members in March 2000 telling them all to SELL. He is an advanced technical analyst and not an investment advisor, nor a securities broker.

Marty Chenard Archive

Only logged in users are allowed to post comments. Register/ Log in

The Market Oracle is a FREE Financial Markets Forecasting & Analysis web-site.
(c) 2005-2024 MarketOracle.co.uk (Market Oracle Ltd) - Market Oracle Ltd asserts copyright on all articles authored by our editorial team and all comments posted. Any and all information provided within the web-site, is for general information purposes only and Market Oracle Ltd do not warrant the accuracy, timeliness or suitability of any information provided on this site. nor is or shall be deemed to constitute, financial or any other advice or recommendation by us. and are also not meant to be investment advice or solicitation or recommendation to establish market positions. We do not give investment advice and our comments are an expression of opinion only and should not be construed in any manner whatsoever as recommendations to enter into a market position either stock, option, futures contract, bonds, commodity or any other financial instrument at any time. We recommend that independent professional advice is obtained before you make any investment or trading decisions. By using this site you agree to this sites Terms of Use. From time to time we promote or endorse certain products / services that we believe are worthy of your time and attention. In return for that endorsement and only in the cases where you purchase directly though us may we be compensated by the producers of those products.