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The Market Chronicles: Daily review (Mon, 28/04/2025)

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  The premarket look indecision(May go slightly red or green). So most probably a consolidation day for today which is good sign it may go up this week more further. As predicted the market is red but slightly up today. SPY and QQQ are building up and consolidating to form a leg. SPY: Given a green signal for the first time this month to enter into market. A good time to enter market is when SPY price > 20MA > 50MA. QQQ: And I can see clear movement of money from Finance sector(XLF), Industrial sector(XLI), Energy sector(XLE), and Health care sector(XLV) to other sectors from last couple of days. Last five sessions, I see $ADD line is above 0 which is a good sign of recovery and MMFD(Stocks above 5-day average) is also around 73%. Very bullish sign for this week. I will keep monitoring Russell family indices as well to understand overall market conditions. My positions: None.

Russell Indexes family you should know as a trader

 Russell indexes are a family of global stock market indices from FTSE Russell that allow investors to track the performance of distinct market segments worldwide. Many investors use mutual funds or exchange-traded funds based on the FTSE Russell Indexes as a way of gaining exposure to certain portions of the U.S. stock market. --Wikipedia. Here’s a breakdown of ETFs that represent large-cap , small-cap , and micro-cap segments in the Russell series : 📊 Russell Market Cap Tiers & Corresponding ETFs Market Cap Tier Index Name ETF Ticker Description 🔵 Large-Cap Russell 1000 IWB Tracks top ~1000 largest U.S. companies 🔵 Large-Cap Growth Russell 1000 Growth IWF Focuses on large-cap growth stocks 🔵 Large-Cap Value Russell 1000 Value IWD Focuses on large-cap value stocks | 🟦 Mid-Cap       | Russell Midcap         | IWR       | Tracks mid-sized companies (subset of Russell 1000...

Market breadth indicators we should know for NASDAQ and NYSE

What is market breadth indicator? This is an indicator which will give you overall market direction in a long term. These are just moving averages of overall market tickers combined. They start with MM if it is NASDAQ and MC if they are NYSC.  These are non-tradable tickers used by  TradingView (and some platforms) to monitor internal market strength or breadth across the NASDAQ and NYSE exchanges respectively. 🧩   Key Difference: MM* vs MC* Prefix Exchange Description MM NASDAQ Market breadth data for Nasdaq MC NYSE Market breadth data for NYSE 📘 Explanation of Each Suffix Let’s break down what each of these indicators mean, and apply the pattern across both MM* and MC* : Suffix Meaning Example (NASDAQ) Example (NYSE) FD % of stocks Above 5-Day MA MMFD MCFD TW % of stocks Above 20-Day MA (3 weeks) MMTW MCTW FI % of stocks Above 50-Day MA MMFI MCFI OH % of stocks Above 100-Day MA MMOH ...

How to detect money flows from one sector to other.

 There is no direct way to detect moment of money from one sector to other. We need to know what is market rotation is. What is Market Rotation? Market rotation is the flow of money from one group of stocks or sectors to another — often in response to: Changes in economic conditions (interest rates, inflation, etc.) Earnings cycles Investor sentiment (risk-on vs. risk-off) 👉 Think of it like tides moving in and out of different beaches — large-cap growth may be hot one quarter, then the tide moves into small caps or value stocks. 📈 What is Relative Strength (RS)? Relative strength compares one asset’s performance to another. It helps you spot what’s leading and what’s lagging . For example: If IWO (small-cap growth) is outperforming SPY , small-cap growth is showing relative strength. If IWD (value) is underperforming IWF (growth), growth is leading. 📊 What to Track – ETF Cheat Sheet: ETF Represents Use Case SPY S&P 500 (l...

What is Zweig Breadth Thrust indicator?

 The Zweig Breadth Thrust is a rare but powerful bullish signal developed by Marty Zweig , a legendary investor and market technician. 📘 What is the Zweig Breadth Thrust? It measures breadth momentum —how many stocks are advancing vs. declining—to spot early signs of a major market rally . ✅ Formula: Zweig Breadth Thrust (ZBT) = 10-day EMA of Advancing Issues ÷ (Advancing + Declining Issues) 📈 What Does It Look For? A ZBT signal is triggered when: The indicator rises from below 0.40 To above 0.615 Within 10 trading days 📊 Example: Let’s say only 38% of stocks are advancing → ZBT = 0.38 (oversold zone) Then in the next 10 days, the ratio surges to 0.62+ → ZBT triggers a signal 🧠 What It Means It suggests a violent shift from pessimism to optimism in the market—like a slingshot. 🟢 Signal Interpretation: Extremely bullish : Historically, it led to strong 6–12 month returns. Rare : Has occurred only a handful of times since the 1940s (e.g. 1982, 20...

The Market Chronicles: Daily review (Friday, 25/04/2025)

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 Looks like market recovered, it could be one more step to form a sidewise. Premarket was good, could not take a screenshot. SPY(ETF tracking SPX) and QQQ(ETF tracking Nasdaq 100) clearly above 20MA and reaching strongly to 50MA. In last 14 sessions the market recovered 14% and last week(5 sessions) it is 8.27% which is a good sign of recovery and there will be a pull back next week. SPY: QQQ(It required more when compared to overall market): ADD still showing good signs: MM* averages showing different signs: 5MA showing signs of consolidation, And remaining MAs are still raising which could be a good sign of recovered market. No positions as of today.

The Market Chronicles: Daily review (Thu, 24/05/2025)

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Premarket stats are really good and it is good for last three to four sessions. Is it a good sign of market recovery? Let us analysis it in todays post. There is a news from Trump stating that tariff will not stay long and can reduce to 50% in near future. Most probably this caused the market uptrend. SPY(ETF tracking SPX) and QQQ(ETF tracking Nasdaq 100) are showing recovery. Most probably good sign of recovery after two and half months which started Feb 16th 2025. SPY: QQQ: Both these are at resistance level. If these two cross the level there is a short term bull market is there.  We will find it tomorrow. All the percentage stocks moving averages(MM*) shown good signs of recovery especally MA5 and MA20 shown clear sign of recovery. Short term breadth indicator(NCFD) suggested we are heading for a short term bull market as well. Over all we may enter in short term bull market if this trend continues. I have no positions as of now.