New Highs-New Lows (NYSE & Nasdaq) [TradeThink]
WHAT IT DOES
The New Highs – New Lows (NH-NL) indicator is a market breadth tool based on the method described by Stan Weinstein in “Secrets for Profiting in Bull and Bear Markets”. Weinstein used NYSE data, while this indicator also provides Nasdaq and Combined NYSE & Nasdaq options.
It helps identify changes in the technical health of the market that may not be obvious from the major indexes and can provide early signs of weakening or strengthening market conditions.
HOW TO USE IT
It is recommended to use the Weekly chart to focus on longer-term market conditions and reduce short-term noise.
When NH-NL stays consistently above 0, it is generally a bullish sign for the market.
When NH-NL stays consistently below 0, it indicates an unhealthy market.
An important divergence between NH-NL and the major index can be an early sign that the market trend is starting to change.
Around a market bottom, or sometimes slightly before it, NH-NL often drops sharply and deeply into negative territory, then rebounds quickly, forming a very sharp and deep V-shaped recovery.
The NH-NL is one part of market analysis and should not be judged alone. It should be considered together with the overall market trend and other market evidence.
The New Highs – New Lows (NH-NL) indicator is a market breadth tool based on the method described by Stan Weinstein in “Secrets for Profiting in Bull and Bear Markets”. Weinstein used NYSE data, while this indicator also provides Nasdaq and Combined NYSE & Nasdaq options.
It helps identify changes in the technical health of the market that may not be obvious from the major indexes and can provide early signs of weakening or strengthening market conditions.
HOW TO USE IT
It is recommended to use the Weekly chart to focus on longer-term market conditions and reduce short-term noise.
When NH-NL stays consistently above 0, it is generally a bullish sign for the market.
When NH-NL stays consistently below 0, it indicates an unhealthy market.
An important divergence between NH-NL and the major index can be an early sign that the market trend is starting to change.
Around a market bottom, or sometimes slightly before it, NH-NL often drops sharply and deeply into negative territory, then rebounds quickly, forming a very sharp and deep V-shaped recovery.
The NH-NL is one part of market analysis and should not be judged alone. It should be considered together with the overall market trend and other market evidence.
Stage Analysis across the market, industries & stocks. Read more at tradethink.substack.com
면책사항
해당 정보와 게시물은 금융, 투자, 트레이딩 또는 기타 유형의 조언이나 권장 사항으로 간주되지 않으며, 트레이딩뷰에서 제공하거나 보증하는 것이 아닙니다. 자세한 내용은 이용 약관을 참조하세요.
Stage Analysis across the market, industries & stocks. Read more at tradethink.substack.com
면책사항
해당 정보와 게시물은 금융, 투자, 트레이딩 또는 기타 유형의 조언이나 권장 사항으로 간주되지 않으며, 트레이딩뷰에서 제공하거나 보증하는 것이 아닙니다. 자세한 내용은 이용 약관을 참조하세요.