A friend of mine showed me the Bullish Percent charts on Stockcharts.com about a month ago. I guess I've never paid attention to these but I'm glad he showed them to me because they seem very useful. The chart that I like the most is the Bullish Percent of the Nasdaq with a couple of exponential moving averages. Here's a chart:
As you can see, the crossover's have some fairly decent signals...at the very least they can indicate when to aggressively trade to the long or short side for you shorter time frame trades and for the longer time frame investor/traders, it could indicate a time to lighten up or put on a hedge.
Here's the link to this actual chart. I keep this chart, along with several others, bookmarked on my computer and I just glance at each chart once a day. It's just one tool in an arsenal that I use to help navigate the markets. Remember, this chart is using moving averages so it will be a little lagging in nature, but it can help confirm moves as they are occurring.
Hope everyone's summer was good. We're about to enter the fall, which is generally a great time for trading.
TLT
As you can see, the crossover's have some fairly decent signals...at the very least they can indicate when to aggressively trade to the long or short side for you shorter time frame trades and for the longer time frame investor/traders, it could indicate a time to lighten up or put on a hedge.
Here's the link to this actual chart. I keep this chart, along with several others, bookmarked on my computer and I just glance at each chart once a day. It's just one tool in an arsenal that I use to help navigate the markets. Remember, this chart is using moving averages so it will be a little lagging in nature, but it can help confirm moves as they are occurring.
Hope everyone's summer was good. We're about to enter the fall, which is generally a great time for trading.
TLT
