Billy
01-31-2013, 04:19 AM
Just a quick message from my medical retreat to warn that the IWM correlation score with the IBD’s accumulation/distribution ratings has issued a major sell signal at yesterday’s close by crossing below its 20 dma. Each of these signals has been correct for the last 15 months while statistical reliability improves over time with bigger samples of data for correlation calculations. I will stress that this indicator is only a good predictor of small caps behavior and less indicative for large caps.
A whipsaw is still possible, but a weak market today would certainly confirm the signal. Cash and short setups are recommended until the next buy signal.
Many thanks to all who sent back kind messages after my last post.
Billy
17138
A whipsaw is still possible, but a weak market today would certainly confirm the signal. Cash and short setups are recommended until the next buy signal.
Many thanks to all who sent back kind messages after my last post.
Billy
17138