Miraculously (I think), the bpndx managed to increase 4 percentage points today and is now comfortably back above 20:
stockcharts.com[e,a]dhllnnay[d20000401,20020509][pb20!b50][iUe12,26,9!Ub14!Ud50!Ll14!Lp14,3,3][J4304648,Y]&pref=G
Between February and April of last year there was some back and forth movement around this level, but the RSI never fell below 30. This time round, the RSI has gone full circle and is giving a buy signal again.
Before March 2000, the bpndx never fell anywhere near as low.
So my guess is that it could do a double-dip fall below 20, but statistically it is not likely to happen. The historical odds favour an improvement in the breadth of the ndx.
FWIW, the bpcomp also rose today (0.13), but I don't consider that to be as significant because it represents some 3700 stocks, whereas the ndx has only 100. |
