The Short Term Indicator is based on the average 5 day performance of five indices in combination with volume and breadth readings. The five indices are:
- Dow Jones Industrial Average
- NASDAQ
- S&P500
- Russell 2000
- Dow Transports
The reading can vary between -4 to +4.
- -3 to -4 -Massive selling of stocks. Indiscriminate Selling of Stocks. Panic
- -2 to -3 - Bearish selling of stocks. Distribution Days
- -1 to -2 - Selling of stocks occurring but there is order in the market. No evident panic in the market.
- -1 to +1 - Neutral
- +1 to +2 - Buying of stocks occurring but there is order in the market.
- +2 to +3 -Bullish buying of stocks on above average volume. Accumulation Days.
- +3 to +4 - Massive buying of stocks. Indiscriminate buying of stocks. Euphoria
The reading will be posted every day.
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