Be Ready the Next Time Institutional Investors Do This...

By: Marty Chenard | Fri, Mar 8, 2013
Print Email

Institutional Investor Accumulation/Distribution Levels

Below are the Institutional Investor levels and trending for Accumulation/Distribution since last November.

The chart show's short term good news and medium term bad news. How so?

Well, if you look at the chart, you can see that Institutional Investors are in Accumulation and that it is trending higher on a daily basis ... and that is good for the short term.

Now look at the two trend lines we drew from last November to yesterday. The trend line for the NYA Index is going up ... but when you look at the trend line for the Institutional Investor Accumulation levels, you can see that it is lower and going down.


What does that mean?

It means that as the rally matures, Institutions have been cutting back their exposure to the market. The two different directions in the trend lines is also saying that there is a negative divergence between the actions of the market and the buying by Institutional investors now.

If you have the feeling that Institutional Investors are not the "big guns" anymore and that they really don't impact the market, then take a minute to observe what happened to the market every time the Institutional trending shifted down.


What's the message from the chart?

Be ready for when the Institutional Accumulation/Distribution trend lines shift down because they will have a greater downside impact on the market the next time.

NYA

 


 

Marty Chenard

Author: Marty Chenard

Marty Chenard
StockTiming.com
Asheville, NC 28805
Tel: 828-296-1200

Marty Chenard is an Advanced Stock Market Technical Analyst that has developed his own proprietary analytical tools and stock market models. As a result, he was out of the market two weeks before the 1987 Crash in the most recent Bear Market he faxed his Members in March 2000 telling them all to SELL. He is an advanced technical analyst and not an investment advisor, nor a securities broker.

StockTiming.com is dedicated to Stock Market Investors who want the best information on stock charts, stock market trends, stock market timing and technical analysis.

Be My Guest and Take Advantage of Our Free Membership ... Get a Free Membership to StockTiming.com ... Youll receive important daily messages before the market opens and direct links to todays important web pages. Information and messages that are often not posted on our website. There is no obligation or expectation on our part ... it is just our way of proving our accuracy and timing expertise to you. Please click here for your Free Membership.

Copyright © 2006-2017 Marty Chenard

All Images, XHTML Renderings, and Source Code Copyright © Safehaven.com