Selling Pressure Expands as Market Breadth Weakens
Negative participation and rising new lows keep the portfolio bias firmly SHORT.
Portfolio Bias: SHORT
Market internals weakened, with declining breadth and expanding new lows confirming selling pressure.
For LONGS: only above the 200/150 SMA, confirming support.
For SHORTS: only below the 200/150 SMA, rejecting resistance.
Global Read
Breadth deteriorated further as the NYSE McClellan Indicator fell and new lows expanded.
Leadership narrowed sharply with very few stocks hitting highs, while negative advance-decline data confirms weakness is broad.
Volatility remains controlled but slightly elevated, supporting a short bias over the next 3–8 weeks.
Trend Indicators
NYSI (NYSE McClellan Indicator) — Closed at 510.78, continuing its decline, showing a weakening long-term trend.
NYAD (Advance-Decline Line) — Ended at -1279, strongly negative, signaling broad-based selling.
NYHGH (New 52-Week Highs) — Fell to 44, very few new highs, confirming weak leadership.
NYLOW (New 52-Week Lows) — Rose to 72, indicating increasing hidden selling pressure.
VIX — Ended at 16.74, slightly higher, showing mild nervousness.
RVX — Closed at 23.12, elevated relative to VIX, showing risk aversion in small caps.
Indicators used
NYSI (NYSE McClellan Indicator) — Long-term trend of advancing vs declining stocks.
NYAD (Advance-Decline Line) — Daily participation, how many rise vs fall.
NYHGH (New 52-Week Highs) — Expansion of leadership.
NYLOW (New 52-Week Lows) — Hidden selling pressure.
VIX — Volatility expectations in large U.S. stocks, fear gauge.
RVX — Volatility expectations in smaller U.S. stocks, risk sentiment in small caps.