• 652 days Will The ECB Continue To Hike Rates?
  • 652 days Forbes: Aramco Remains Largest Company In The Middle East
  • 654 days Caltech Scientists Succesfully Beam Back Solar Power From Space
  • 1,054 days Could Crypto Overtake Traditional Investment?
  • 1,059 days Americans Still Quitting Jobs At Record Pace
  • 1,060 days FinTech Startups Tapping VC Money for ‘Immigrant Banking’
  • 1,064 days Is The Dollar Too Strong?
  • 1,064 days Big Tech Disappoints Investors on Earnings Calls
  • 1,065 days Fear And Celebration On Twitter as Musk Takes The Reins
  • 1,066 days China Is Quietly Trying To Distance Itself From Russia
  • 1,067 days Tech and Internet Giants’ Earnings In Focus After Netflix’s Stinker
  • 1,071 days Crypto Investors Won Big In 2021
  • 1,071 days The ‘Metaverse’ Economy Could be Worth $13 Trillion By 2030
  • 1,072 days Food Prices Are Skyrocketing As Putin’s War Persists
  • 1,074 days Pentagon Resignations Illustrate Our ‘Commercial’ Defense Dilemma
  • 1,074 days US Banks Shrug off Nearly $15 Billion In Russian Write-Offs
  • 1,078 days Cannabis Stocks in Holding Pattern Despite Positive Momentum
  • 1,079 days Is Musk A Bastion Of Free Speech Or Will His Absolutist Stance Backfire?
  • 1,079 days Two ETFs That Could Hedge Against Extreme Market Volatility
  • 1,081 days Are NFTs About To Take Over Gaming?
Another Retail Giant Bites The Dust

Another Retail Giant Bites The Dust

Forever 21 filed for Chapter…

Is The Bull Market On Its Last Legs?

Is The Bull Market On Its Last Legs?

This aging bull market may…

Strong U.S. Dollar Weighs On Blue Chip Earnings

Strong U.S. Dollar Weighs On Blue Chip Earnings

Earnings season is well underway,…

  1. Home
  2. Markets
  3. Other

Updated: What Institutional Investors Are Doing Now

It is Friday, and I decided to make this a free member courtesy day again today.

Last Friday, we showed and discussed the daily Net of the Institutional Buying and Selling activity.

Below is a recap of that discussion, FOLLOWED by two charts. The SECOND chart is the updated chart as of the close yesterday:


Discussion recap

Why is the "Net" important? Because it is just like your checking account. If money is going in faster than the outgo, then you have a nice positive balance. However, if the amount of money flowing out is faster than the amount coming in, then you are drawing down your account and it will eventually go to a negative balance if you don't curtail your spending in time.

So the Net Accumulation/Distribution chart behaves the same way. Check out the chart below ... on May 21st., the trend lines on the Institutional Accumulation merged and that was the peak close during the past week. (The next day, the Accumulation started a down trend which meant that Institutions were continuously decreasing their daily buying.)

That left the buying from retail investors to keep the market up by themselves. Since Institutional Investors own over half of all the stocks, that is a pretty tall order for the small guy.

(FYI: Some subscribers are enamored by the Institutional Accumulation/Distribution trending and use the trending information as the basis for their buying and selling signals because they have learned that going against the big Institutional Investors usually gets them into trouble ... the chart is posted and updated daily on the Standard subscriber site.)

NYA New York Stock Exchange Index

This chart show's the change (as of yesterday) on the trend of Institutional Selling and the market's reaction.

NYA New York Stock Exchange Index

 

Back to homepage

Leave a comment

Leave a comment