By Rob Hanna
The last time the SPX closed below its 10-day moving average was January 3rd. That means it has now been 35 straight trading days that SPX has closed above the 10ma. That is a very long streak. Below is a list of all streaks since 1928 of 35 days or longer. (Note: prior to 1957 S&P 90 Index data is used. This is the predecessor to the S&P 500.)
I have highlighted the “recent” instances. Everything prior to the highlighted group came before the Space Invaders arcade game was released. At this point is most likely going to take a few days to drop all the way below the 10ma, since it is stretched a good amount above it right now. My takeaways from this study are 1) the market is well overdue a pullback, and 2) I am not inclined to get excited about taking on new long positions until we get this short-term reset below the 10ma.
Want research like this delivered directly to your inbox on a timely basis? Sign up for the Quantifiable Edges Email List.
Support 100% ad-free Biiwii.com by making a donation of your choice!
Or better yet, subscribe to NFTRH Premium for an in-depth weekly market report, interim updates and NFTRH+ chart and trade ideas to get much more bang for your buck. Also keep up to date with actionable public content at NFTRH.com. Follow NFTRH & Biiwii via Twitter @BiiwiiNFTRH, StockTwits.