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Strategies & Market Trends : MARKET INDEX TECHNICAL ANALYSIS - MITA

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To: fut_trade who wrote (1399)11/19/1999 5:13:00 PM
From: J.T.  Read Replies (1) of 19219
 
Peter, Here is a current chart of A/D Line:

decisionpoint.com

decisionpoint.com

We are above our recent low levels and the market is attempting to broaden out. RUT is moving along nicely of late. Still below April '98 highs of RUT 487.

Breadth does count.

And we had this same wide disparity in the late 20's (1927 on) just like we do now. Here is a 1927 A/D Chart:

decisionpoint.com

Notice how the widened gap quickly closed after the crash.

In 1983, we recovered and the broad market got new legs:

decisionpoint.com
decisionpoint.com

Certainly this problem can be corrected again, but I would not discard this indicator at all. Especially now.

Best Regards, J.T.

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