When I was younger I watched Blue’s Clues. Things had personality. Things had names. It is only right. Of course, as the adult world grips the soul, things can tend toward nihilism. But, what the fuck does this have anything to do with anything? To which I reply, my point exactly.
In any case, the NYSE Bullish Percent Index is pushing its head above 30%. This occurrence, as mentioned many times before (if not here, in the world of technical analysis), means that the chance for a reversal in trend improves. In other words, it would not be surprising if the market began trending upward, although it would be nice to see the BPNYA break above 30 with an X.
Also, the VIX needs to continue dropping as it has been. This, of course, signals a reduction in market volatility (fear). Currently, maintaining the current downward trend does not look unlikely.
Here is the BPNYA on a more historic scale (thanks to Trader’s Narrative for the chart). As you can see, mid-October we hit, what looks like, a historic low. Passing the 30% mark will hopefully confirm the current bullish sentiment.
Good trading.
