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Strategies & Market Trends : News Links and Chart Links
SPXL 194.72-4.6%Nov 20 4:00 PM EST

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To: vampire who wrote (2092)6/12/2002 9:50:18 AM
From: Les H  Read Replies (1) of 29597
 
The TRIN, A/D, and U/D are computed from the exchange statistics for the NYSE (Dow/NYSE) and for the NASD. These are downloaded from an end-of-day quote service. The S&P 500 statistics are computed by the program by aggregating all the stocks in the S&P 500, whose quotes are automatically downloaded from same service. The A/D ratios tend to lag the U/D ratios on the way down since the mid cap and small cap stocks are being sold last and the large cap (high volume technology sector) stocks are being sold first. The 21-day A/D ratio for the Dow/NYSE hasn't been classified as oversold (< .85) since last September and March of 2001. The 55-day A/D ratio is still above 1, rendering the 55-day TRIN useless, since the Russell 2000 only broke down 3-4 weeks ago. The 21-day ratio should get oversold in another week or so since the positive advance-declines from four weeks ago from the Russell will fall off the time series.
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