4/12/20 Weekend Market Update - INTERNALS

The internals this week were bullish but are nearing short/intermediate term exhaustion/resistance levels across the board.


TRIN: At the close, this looked to be just barely neutral/bearish. All week they have been extremely bullish. This could mean nothing or could be showing a slowing advance. Bearish would be for these to drop into the red with green price action Mon/Tues. Bullish would be for these to just move back to zero on green price action Mon/Tues.

Takeaway: Nothing but watching Monday


ADVANCERS/DECLINERS: The QQQ and DIA ETFs showed some underlying selling in the back half of the day. Nothing notable for SPY and IWM. These could mean nothing or they could morph into something during the week next week.

Takeaway: Nothing but watching Monday


NYSE ADVANCERS/DECLINERS: The NYSE group advanced hard this past week. Now there is a nest of resistance at 16746-16806. The market structure of this measurement (and the NYSE) is bearish unless this can take out 16900 level.

Takeaway: Approaching Resistance


CUMULATIVE VOLUME: Overall volume was strong this week. There is still room for some furthering of this measurement, but it appears after looking into the indexes themselves, there was a lot of selling into this bullish move. That can have an impact if/when this runs out of steam next week.

Takeaway: Approaching Resistance


ABSOLUTE BREADTH (New Version Update): You can see this is pretty self explanatory. This is the weekly perspective. This almost got back to a neutral reading (which would be better for bullish continuation). But it closed the week back towards volatility. More volatility coming next week? This has a setup like that of Q4 2018 at the moment...see if that plays out.

Takeaway: Inflection where new volatility would not be surprising


MCCLELLAN OSCILLATOR: We are in the nosebleeds on this one. Embedded readings can definitely lead to rare air, but at least a pull back in the markets would not be surprising based on these readings...but this can/does have tendency to go to extremes both directions.

Takeaway: Reversal can happen at any point now, but mindful of extensions.


INTERNALS Summary: There is a mix of readings. None are bullish readings (which could be precursors to a pull back in the next week or two (bullish case) or another leg down (bearish case).

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