Study: Breadth Suggests That The Stock Market’s Bottom Is Already In

Last week we demonstrated a momentum+breadth study which supported the medium term bullish case for the stock market.

Now let's look at the short term case for the stock market. Is the stock market's EXACT bottom already in?

What happens historically when:

The Advance-Decline Line makes a new high?

April 2, 2012

July 16, 2007

January 3, 2000

July 19, 1999

October 7, 1997

February 19, 1997

May 23, 1996

January 3, 1990

August 27, 1986

September 25, 1967

May 13, 1965

September 23, 1955

Let's look at these historical cases in detail.

April 2, 2012

July 16, 2007

This historical case does not apply to today because the A/D line has already made a new high.

January 3, 2000

This historical case does not apply to today because the A/D line has already made a new high.

July 19, 1999

This historical case does not apply to today because the A/D line has already made a new high.

October 7, 1997

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