Regardless of what Dick Arms officially states about the Traders Index, the fact is the TRIN travels in ranges, as does the TICK.
Most probably you are looking at dailies. So you may see the TICK travel from -500 to +500 on any given day. During that day, however, it may have been once that the TICK traversed into the extreme on one side or the other. Ditto the TRIN.
I look at TICK and TRIN on 5 minute bar charts. I can assure you, that although I do not have my screens up, in the morning when I fire up the charts I am quite certain that the TRIN, over the past several days, has spent most of the time (Intraday) near 80.
So when I say that it is relative, I am saying it is relative to the time frame that the current market is in. At this point in time, a TRIN of 120 is extreme. Two weeks from now, a TRIN of 80 may be extreme.
Presently a positive TICK of 500 is extreme. A week ago it was not.
That is what I call relative. |
