Other market environment indicators

Breath of market:
Advance – decline line
= total sum of daily advance – declines on NYSE

• If advance-decline line and the index move together, movement is broadly across the market;
• If diverse, market heat a peak or trough
  

Diffusion index
= (5 week moving ave of daily total of the stock dvanced + 1/2 no of remained unchanged ) / total no of issue traded

Short interest - Sold short and not covered
= O/S short interest / average daily volumn on exchange

• If greater than 60 => bullish
• If smaller than 60=> bearish

Stock above their 200-day moving average:

• If greater than 80% =>overbrought => bearish
  If smaller than 20% => oversold => bullish

Block uptick-downtick ratio:

• Uptick: block trading at above prior price (buyer’s market);
• Downtick: at below prior price (seller’s market);
  

Uptick-downtick ratio

= no of block upticks trades/no of block downtick trades

• It is a measurment of instiutional invesment sentiment
• If close to 0.7 => bullish
  If close to 1.1 => bearish