Abstract
As we enter one of many most-positive occasions of the yr for the inventory market, from December 19, 2024, till January 2, 2025, we observe that the market has not been sort to common inventory in addition to many sectors because the latter a part of November. Some blame it on tax-loss promoting, which is possible. However there are sectors and indices falling from all-time highs, or not less than 2024 highs, so there can?t be any tax promoting there. NYSE breadth on Tuesday was -1,611 because the streak of weak breadth continues. The 12-day NYSE advances/whole points is all the way down to 39%, one of many weakest readings over the previous two years. And, as soon as once more, the weakest indices had been the NYSE, S&P 400, and S&P 600. We see some fascinating Dedication of Merchants (COT) knowledge in addition to some disturbing da-ta (it simply will depend on which market). We talked about beforehand that the main index mixed hedger place was fairly bearish — and after we have a look at two of its index elements, we discover that the S&P 500 and the Nasdaq 100 hedgers positions are each bearish because the good cash hedgers are at or close to their most-negative futures positions. On the similar time, massive speculators (hedge funds, momentum junkies) are extraordinarily bullish of their futures positions
