The Relentless A/D Line
The Advance Decline lines rise since March of 09 has been virtually relentless.
Despite yesterdays small give back the A/D line remains well above the bull market high. Maybe the bull move is over, as of today, but this indicator does not suggest that it’s so. Last week we looked at the advancing minus declining volume on the NASDAQ composite and saw how that was also setting new highs.
Unlike bottoms, tops often take a long time, many months to complete. If this market makes it’s high in the same manner the 2007 high was made, these two indicators may give us the warning needed.
Perhaps it would be too convenient, perhaps not. In any case my point is that as traders we must try and move when the odds are in our favor. While a correction is possible, at any time, of course, do the odds appear to favor a major down move here? I thought so!
ETF Range Projections & A Quote to Start the Day
A ‘No’ uttered from the deepest conviction is better than a ‘Yes’ merely uttered to please, or worse, to avoid trouble.
- Mohandas Gandhi
For more detailed economic data click “Today’s Calendar” in the navigation bar to the left. 
Chinese markets are lower to begin the week, at this writing Europe is flat: Nikkei 225 -0.28%, Hang Seng -0.27%, Shanghai +0.53%, DAX +0.75%, and the FTSE 100 +0.47%
At about 7:40 AM ET ahead of Housing Starts and Import Export prices and while we await the FEDs decision on interest rates the futures are little changed: Dow +9, S&P +2, NAZ +3, Oil +$0.42 and Gold +$9.30
