This is a new set of numbers I have put together to compare market indices against its individual 200-day moving average as well as across each other. Period of data: from Jan2002 til 12Aug2009.
What the coloured boxes mean:
1) Red: Overbought zone;
2) Green: Oversold zone;
3) Light blue with yellow outline: current level
All 5 markets exhibit clear signs of being in overbought zone. For example, STI at current level is only visible 2.1% of the time during the past 7+ years. All (except BSE) markets typically bottomed at -20% of 200-day moving average.
It's time to take profits.
0 comments:
Post a Comment