The equity bulls are still running, according to a technical gauge that measures the impetus to buy or sell stocks.
The index’s DVAN trend line -- a proprietary divergence analysis that measures buying or selling pressure is on its longest buying streak since the euphoric run-up that ended in February’s market tumble. Market pressure is measured by the overall range of divergence between the benchmark’s trading level and the trend line.
Data show that the market in May has been holding to an overall bullish sentiment, characterized by the green band in the chart above. Compare that with the swath of red in February, when the S&P retreated almost 4 percent.
The S&P 500 has gained 3 percent so far this month.
Source: Bloomberg Pro Terminal
Read more:
25 Canada Square, Level 33, office 50, Canary Wharf London, E14 5LQ +44 20 3608 6256
World Financial Markets - 0700 17 600 Varchev Exchange - 0700 115 44
Varchev Finance Ltd is registered in the FCA (FINANCIAL CONDUCT AUTHORITY) with a passport in the United Kingdom: FCA, United Kingdom - registration number: 494 045, which allows provision of financial services in the United Kingdom.
Varchev Finance Ltd strictly comply with the statutes of the European directive MiFID (Markets in Financial Instruments). targeting increased efficiency, transparency and uniformity of financial instruments.
Varchev Finance Ltd is authorized and regulated by the Financial Supervision Commission - Sofia, Bulgaria: License number RG-03-02-05 / 15.03.2006
The information on this site is not intended for distribution or use by any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.
Disclaimer:
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63,41% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.