These are the bearish signals investors should monitor to stay ahead of a potential sell-off in stocks, according to Bank of America
highlighted a few risky signals investors should monitor to get a clue about a potential stock market sell-off, according to a Tuesday note. The signals are in limbo mode as they have yet to confirm a new bull market in stocks, and have yet to flash a bearish reading that would suggest a decline is imminent.
"The Dow Industrials and Dow Transports have confirmed the tactical US equity market rally from March, but the Dow Theory has yet to confirm a primary bull market from late 2022. The Dow Industrials need to break above the 11/30/2022 peak at 34,590, while the Dow Transports need to clear the 2/2/2023 peak at 15,641 to confirm a bull market. Until then, the risk remains for a bifurcated US equity market," BofA technical strategist Stephen Suttmeier said.
Looking at the NYSE Composite Index and its corresponding NYSE advance-decline line, Suttmeier identified a negative divergence as the former recently made a higher high and the latter recently made a lower high. For this tactically bearish signal to dissipate, the NYSE advance-decline line would need to print a series of higher highs to confirm the bullish move seen in the NYSE Composite index.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Playa Hotels & Resorts stock drops after double downgrade at BofA, amid slowing leisure travel demandShares of Playa Hotels & Resorts NV dropped 6.6% toward a four-month low in afternoon trading Monday, in the wake of a double downgrade by BofA Securities...
Read more »
Watch: MNH’s Rookie Boy Group 8TURN Unravels Their Desire To Live Autonomously In “EXCEL” MVWATCH: MNH’s Rookie Boy Group 8TURN Unravels Their Desire To Live Autonomously In “EXCEL” MV
Read more »
Watch: SHINee Goes Undeniably “HARD” In Charismatic And Suave Comeback MVWATCH: SHINee Goes Undeniably 'HARD' In Charismatic And Suave Comeback MV
Read more »
Forensic evidence sheds new light on LDS leader John Taylor’s ‘miracle’ at CarthageOn June 27, 1844, LDS apostle John Taylor was in the Carthage Jail when Mormon founder Joseph Smith and his brother were fatally shot by a mob. Taylor was shot, too, but survived when the bullet his pocket watch. For years, there have been questions about that story and the watch, but recent forensic research now shows the mark on the watch likely came from a bullet, not just a random dent.
Read more »
Analysts think these stocks in underperforming sectors are due for a comebackWatch these Wall Street underperformers for a potential comeback in the second half of 2023.
Read more »