There is no change in the indicator summary because the market did not move much this week. Despite little movement, IWM, MDY, XLF and several other key ETFs hit new highs. The uptrend, or rather grind higher, continues. Note that the Nasdaq AD Volume Line and NYSE AD Volume Line hit new 52-week highs this week. Net New Highs remain incredibly strong. The rally is still long-in-tooth, but we have yet to see any signs of significant selling pressure.
- AD Lines: Bullish. The Nasdaq AD Line broke the mid December high and hit a nine month high this week. The NYSE AD Line hit a new high this week and remains in a strong uptrend.
- AD Volume Lines: Bullish. The Nasdaq AD Volume Line broke above its 2012 high this week. The NYSE AD Volume Line also recorded a new 52-week high this week.
- Net New Highs: Bullish. Net New Highs have been strong all year and show no signs of weakness. The cumulative Net New Highs lines move to new highs again this week.
- Bullish Percent Indices: Bullish. All nine sector Bullish Percent Indices are above 50%.
- VIX/VXN: Bullish. The S&P 500 Volatility Index ($VIX) and the Nasdaq 100 Volatility Index ($VXN) are below 15% and in downtrends.
- Trend-Structure: Bullish. IWM, SPY, MDY, QQEW and DIA hit new 52-week highs this month. IWM and MDY are the clear leaders here. QQEW has been lagging a bit the last three weeks.
- SPY Momentum: Bullish. RSI fell back below 70, which may suggest that a corrective period is nearing. MACD(5,35,5) also moved below its signal line. Aroon remains well above 50 and has been positive since the first week of December.
- Offensive Sector Performance: Bullish. XLY, XLF and XLI hit new highs this week and remain in uptrends.
- Nasdaq Performance: Bearish. The $COMPQ:$NYA ratio has been trending lower since early September and hit a 52-week low in late January.
- Small-cap Performance: Bullish. The $RUT:$OEX ratio has been on a tear since mid November as small-caps outpace large-caps. This ratio, however, may be getting overextended.
- Breadth Charts (here) and Inter-market charts (here) have been updated.
About the author:
Arthur Hill, CMT, is the Chief Technical Strategist at TrendInvestorPro.com. Focusing predominantly on US equities and ETFs, his systematic approach of identifying trend, finding signals within the trend, and setting key price levels has made him an esteemed market technician. Arthur has written articles for numerous financial publications including Barrons and Stocks & Commodities Magazine. In addition to his Chartered Market Technician (CMT) designation, he holds an MBA from the Cass Business School at City University in London.
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