Stock market's split personality persists

Weekly Review: MAAD & CPFL Analysis

Conclusion

It is a certainty the bull market that began in March 2009 will end. For months there have been lingering contradictions. Some indicators like CPFL and longer-term Momentum, while participating on the upside since October 2011 and after the most severe correction in the bull trend, have done so with less enthusiasm than during the first leg up in the bull market that lasted until early May 2011. Others, like MAAD, have actually led the market at important turning points.

But the time will come when there will not only be indicator divergences, but prices in one index or another, such as with the S&P 500 and the Dow 30, will begin to falter compared to other indexes, such as the COMPX, VALUA, and TFY. Those contradictions are inevitable into a final long-term high and are simply suggestions the overall positive tone of the broad market may be changing to negative, lacking new highs in prices and the elimination of disparities in the indicators.

MAAD daily data for past 30 days*

CPFL daily data for past 30 days

Date

NYSE Adv

NYSE Dec

Date

OEX Call $Volume

OEX Put $Volume

8-23-13

15

4

8-23-13

9071

30977

8-26-13

7

13

8-26-13

12717

65786

8-27-13

0

20

8-27-13

45177

61047

8-28-13

15

4

8-28-13

4443

40268

8-29-13

15

4

8-29-13

16417

63697

8-30-13

7

13

8-30-13

4341

40669

9-3-13

15

5

9-3-13

19151

10760

9-4-13

18

2

9-4-13

16402

44520

9-5-13

18

2

9-5-13

10876

7863

9-6-13

10

8

9-6-13

20113

13375

9-9-13

18

2

9-9-13

14877

16433

9-10-13

15

5

9-10-13

37460

21548

9-11-13

15

5

9-11-13

15050

30730

9-12-13

3

16

9-12-13

16370

23336

9-13-13

14

5

9-13-13

10668

4246

9-16-13

12

7

9-16-13

25807

43346

9-17-13

17

3

9-17-13

17778

10023

9-18-13

20

0

9-18-13

44523

34687

9-19-13

9

11

9-19-13

26912

17440

9-20-13

3

17

9-20-13

34321

28948

9-23-13

6

14

9-23-13

14829

37355

9-24-13

7

13

9-24-13

25829

49430

9-25-13

10

10

9-25-13

10517

39419

9-26-13

11

9

9-26-13

17990

17811

9-27-13

7

13

9-27-13

2903

47777

9-30-13

5

15

9-30-13

19369

35964

10-1-13

17

3

10-1-13

9773

21260

10-2-13

14

6

10-2-13

24406

27104

10-3-13

2

18

10-3-13

51247

60320

10-4-13

18

2

10-4-13

78764

19149

*Note: Unchanged issues are not counted.

MAAD weekly data for past 30 weeks**

CPFL weekly data for past 30 weeks

Date

NYSE Adv

NYSE Dec

Date

OEX Call $Volume

OEX Put $Volume

3-15-13

13

7

3-15-13

146291

30502

3-22-13

6

14

3-22-13

60614

38326

3-29-13

13

7

3-29-13

46289

19185

4-5-13

7

13

4-5-13

36138

75905

4-12-13

17

3

4-12-13

102421

24788

4-19-13

5

15

4-19-13

77064

98927

4-26-13

16

4

4-26-13

69002

47733

5-3-13

18

2

5-3-13

106307

39059

5-10-13

16

4

5-10-13

101919

27785

5-17-13

16

4

5-17-13

264768

40669

5-24-13

7

13

5-24-13

133188

105220

5-31-13

10

10

5-31-13

52189

172660

6-7-13

14

6

6-7-13

208337

89250

6-14-13

6

14

6-14-13

84672

121886

6-21-13

4

16

6-21-13

47968

226866

6-28-13

16

4

6-28-13

102801

64660

7-5-13

11

9

7-5-13

79591

26170

7-12-13

18

2

7-12-13

145875

46051

7-19-13

12

8

7-19-13

60057

30066

7-26-13

9

11

7-26-13

39694

27418

8-2-13

16

3

8-2-13

52347

54888

8-9-13

9

11

8-9-13

44818

132161

8-16-13

5

15

8-16-13

49366

206060

8-23-13

12

7

8-23-13

39357

90644

8-30-13

1

19

8-30-13

64499

287292

9-6-13

18

2

9-6-13

62543

58305

9-13-13

18

2

9-13-13

89735

66677

9-20-13

17

2

9-20-13

99524

121395

9-27-13

9

11

9-27-13

41276

194942

10-4-13

10

8

10-4-13

55191

147092

**Note: All data is for calendar week ending on Friday even though ending date may be a holiday. Unchanged issues in MAAD calculations are not counted.

<< Page 5 of 5
About the Author
Robert McCurtain

Robert McCurtain is a technical analyst/market timer, private investor and financial markets consultant based in New York City. He can be reached at traderbob@nyc.rr.com.

If you would like to read more about how the CPFL is constructed, read a Futures article on the concept. This link will take you to the MAAD article. A two-part series about system development with the MAAD also is available. 

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