Comments on: NASDAQ Stocks show Moving Average Divergence http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/ Sat, 13 Mar 2010 03:09:49 -0800 http://wordpress.org/?v=2.8.2 hourly 1 By: chrisperruna.com » Blog Archive » Two Months of Warnings http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/comment-page-1/#comment-13459 chrisperruna.com » Blog Archive » Two Months of Warnings Thu, 16 Aug 2007 16:17:42 +0000 http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/#comment-13459 [...] NASDAQ Stocks show Moving Average Divergence July 2, 2007 “Another secondary indicator is pointing to an exhausted market that is due for a correction or pullback but please understand that this is only a secondary indicator.” “It tells me that the weaker stocks are starting to drop below their 50-day moving average support level which indicates that the market leaders and general market may soon follow.” [...] [...] NASDAQ Stocks show Moving Average Divergence July 2, 2007 “Another secondary indicator is pointing to an exhausted market that is due for a correction or pullback but please understand that this is only a secondary indicator.” “It tells me that the weaker stocks are starting to drop below their 50-day moving average support level which indicates that the market leaders and general market may soon follow.” [...]

]]> By: Chris http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/comment-page-1/#comment-11690 Chris Thu, 05 Jul 2007 12:53:29 +0000 http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/#comment-11690 DrFox, The Portuguese is coming along slowly although I can understand a lot more than I can speak. The word divergence in these charts represents the opposite direction that the NASDAQ is moving (gray shaded area) and the red/black line representing the individual stocks. The two have moved in harmony over the past several years but have recently moved in opposite directions over the past couple of months. This doesn’t tell us anything other than send up a red flag warning to keep a closer eye on your holdings. DrFox,
The Portuguese is coming along slowly although I can understand a lot more than I can speak.

The word divergence in these charts represents the opposite direction that the NASDAQ is moving (gray shaded area) and the red/black line representing the individual stocks. The two have moved in harmony over the past several years but have recently moved in opposite directions over the past couple of months. This doesn’t tell us anything other than send up a red flag warning to keep a closer eye on your holdings.

]]> By: DrFox http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/comment-page-1/#comment-11522 DrFox Wed, 04 Jul 2007 10:18:38 +0000 http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/#comment-11522 Dear Cris, How is your portuguese learning curve doing? :) I like the post and also are in "watching" status for my portfolio here in Brazil. But looking at the graphics and to the five previous corrections, it seen there is a direct positive and strong correlation (close to 1) between the nasd and the percitile curves. So by looking into this, I do not understand what that divergence realy means. Is is acting contrarian to previous falls. Does the price action follow the percentile action or is it a reflex from the first? I think that if we could somehow normalize booth graphics, we might be in a better position to compare. I don't know. I am just trowing out my toughts. []'s DrFox Dear Cris,

How is your portuguese learning curve doing? :)

I like the post and also are in “watching” status for my portfolio here in Brazil.

But looking at the graphics and to the five previous corrections, it seen there is a direct positive and strong correlation (close to 1) between the nasd and the percitile curves.

So by looking into this, I do not understand what that divergence realy means. Is is acting contrarian to previous falls.

Does the price action follow the percentile action or is it a reflex from the first?

I think that if we could somehow normalize booth graphics, we might be in a better position to compare.

I don’t know. I am just trowing out my toughts.

[]’s

DrFox

]]> By: Bill aka NO DooDahs http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/comment-page-1/#comment-11426 Bill aka NO DooDahs Tue, 03 Jul 2007 13:39:23 +0000 http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/#comment-11426 It seems to me, from looking at the 200dma chart, that a very high amount of participation precedes a correction, indicating that people are getting long trash, and the bull is long in the tooth. Therefore, the smaller participation is probably bullish, and not bearish. It seems to me, from looking at the 200dma chart, that a very high amount of participation precedes a correction, indicating that people are getting long trash, and the bull is long in the tooth. Therefore, the smaller participation is probably bullish, and not bearish.

]]> By: Say Hello to July 2 « Trading for the Masses http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/comment-page-1/#comment-11322 Say Hello to July 2 « Trading for the Masses Mon, 02 Jul 2007 19:45:48 +0000 http://www.chrisperruna.com/2007/07/02/nasdaq-stocks-show-moving-average-divergence/#comment-11322 [...] Nasdaq, moving averages showing divergences [...] [...] Nasdaq, moving averages showing divergences [...]

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