Wednesday, July 06, 2005 10:05:51 PM
TRIN INDEX Watch
I’m keeping track of the TRIN Index here just for my own amusement and discipline. This is a fascinating tool for volume study that deserves more attention than it’s getting.
So, after the drop to 0.81 yesterday, the big board’s TRIN shot up to 1.54 today with the 10-day sma at 1.21. This is very interesting as these readings represent the “oversold” market condition. Since today’s a down day, this means the declining volume did not keep up with the number of declining issues.
AMEX & OTC are also shown in the table below as "oversold".
The only “normal” index was NASDAQ, which has about the same TRIN reading (0.88) as yesterday (0.85). Both numbers indicate normal buying and selling volume. This then puts NASDAQ at a very intersting juncture.
If it stays below or near 1, then NASDAQ should pick up the pace on its recent uptrend, which started last week. If it started trending higher above 1.20, then it’s due to collapse again.
I’m keeping track of the TRIN Index here just for my own amusement and discipline. This is a fascinating tool for volume study that deserves more attention than it’s getting.
So, after the drop to 0.81 yesterday, the big board’s TRIN shot up to 1.54 today with the 10-day sma at 1.21. This is very interesting as these readings represent the “oversold” market condition. Since today’s a down day, this means the declining volume did not keep up with the number of declining issues.
AMEX & OTC are also shown in the table below as "oversold".
The only “normal” index was NASDAQ, which has about the same TRIN reading (0.88) as yesterday (0.85). Both numbers indicate normal buying and selling volume. This then puts NASDAQ at a very intersting juncture.
If it stays below or near 1, then NASDAQ should pick up the pace on its recent uptrend, which started last week. If it started trending higher above 1.20, then it’s due to collapse again.
David
#board-3693
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