A couple of weeks ago, we mentioned that the highest “stocks only” breadth oscillator reading in history had taken place. In fact, the top three readings of all time occurred on March 3rd, 4th, and 7th of this month (March, 2016). In addition, the 15th and 17th most extreme readings of all time occurred on March 2nd and March 11th, respectively. We wanted to study the other extreme readings to see what happened after those. Is this a significant longer-term indicator, or is it just indicative of the fact that short-term momentum is strong? The complete "Top 20" is shown in Table 1.
Table 1: Most Extreme “stocks only” breadth oscillator readings
|
Date |
Oscil |
SPX |
|
03/07/16 |
951.17 |
2001.7 |
|
03/04/16 |
885.64 |
1999.9 |
|
03/03/16 |
848.71 |
1993.4 |
|
09/16/09 |
838.81 |
1068.7 |
|
10/27/11 |
814.53 |
1284.5 |
|
07/07/11 |
770.91 |
1353.2 |
|
02/03/12 |
761.76 |
1344.9 |
|
07/24/09 |
750.14 |
979.2 |
|
07/15/13 |
747.51 |
1682.5 |
|
07/27/09 |
743.43 |
982.1 |
|
08/03/09 |
739.10 |
1002.6 |
|
03/05/10 |
731.88 |
1138.7 |
|
05/08/13 |
731.71 |
1632.6 |
|
07/23/09 |
730.27 |
976.2 |
|
03/02/16 |
726.90 |
1986.4 |
|
07/11/13 |
726.26 |
1675.0 |
|
03/11/16 |
724.65 |
2022.1 |
|
10/24/11 |
721.07 |
1254.1 |
|
07/03/12 |
720.33 |
1374.0 |
|
08/04/09 |
717.09 |
1005.6 |
Outside of March 2016, the most extreme readings occurred as follows...
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