Applying Trend Momentum and Panic Buying & Selling Indicators to the S&P 500 (SPY)
Quite often, I get asked about two of the indicators I use in my pre-market report videos. One is proprietary, and one is not.
The proprietary trend momentum indicator runs on the 30-minute chart of regular trading hours only. For those of you who don’t know, that’ll be the green, red, and orange bar chart on the left side of the video screen. This indicator helps to filter out the noise of futures or after-hours trading and allows me to more accurately gauge the direction the market may go next. For example, if an overbought zone (shaded red bars) appears, it can be a hint that the market is about to change directions.
The panic selling and panic buying indicators complement that of trend momentum. These two indicators are the green and red line charts on the upper left side of the video screen and can be added to your own charts. When the green line chart is pushed above a three, this is an indication that traders are spooked and have begun dumping their shares. Conversely, when the red line chart rockets past three, then people are buying no matter what the price is. Essentially I am able to see and track the emotional sentiment of market participants and what is likely to happen next.
Here’s your opportunity to get caught up on what is turning out to be a series of valuable tidbits from the last mentoring session my team and I had with our subscribers. To get caught up, click on any of the links below.
- Part I – Thoughts on gold breaking $2000
- Part II – Gold’s momentum and underperforming gold miners
- Part III – Stock market and real estate
Know how Asset Revesting Advisors can help individuals deploy the asset revesting strategy, which is ideal for busy professionals aged 50 or older.
If you want a morning video update to get your investing or trading day started, complete with trend momentum and market sentiment analysis, our Best Asset Now (BAN) subscription could be just what you are looking for!