Tuesday, June 23, 2015

The Canaries Are All Dead

MW June 23, 2015
Here's One Bear Market Sign You've Never Seen Before
"The degree to which stocks move together in unison is a function of the market cycle. In bear markets the vast majority of stocks do so, whereas in bull markets stocks tend to march to the beat of their own drummer. It’s at market tops, therefore, when stocks’ moves in step with the overall market tend to be at the lowest point. Such as it is now. Last week, even as the broad market averages rose to within shouting distance of their all-time highs and some secondary averages actually did so, just 7.2% of stocks on the New York Stock Exchange hit new 52-week highs. A slightly greater percentage of stocks — 7.3% — hit new 52-week lows."

Goldman Skynet has created divergences in this cycle that only a Russian PhD in math could conjure up. Because we know that infinite market manipulation just comes down to the right equation. As we see further below, it always comes together in the end...

New 52 week highs NYSE:

Coming together in the end, visualized...
"In bear markets stocks and sectors move as one"

The Lehman singularity circa October 2008:

"Don't believe your advisor when they tell you this is a 'stock picker's' market"

You mean the same gambling advisor from 2008?