A review of the August 30, 2024 NAAIM Weekly Exposure Index revealed a repetitive pattern along a 17.33 degree trend line. The Dow continues to move higher and is expected to briefly touch its 16.83 degree upper trend line. This will complete the 2021 chart structure guide discussed on August 22, 2024.
Market Maker big block distributions after August 5, 2024 have been relatively light and are focused on a few big tech stocks and ETFs such as the SPY. This indicates Market Makers are planning to accumulate additional inventory during the next decline.
Overall, there are very few sector bullish percentage indices that are overvalued. Examples include the S&P Health Care Sector and S&P Real Estate Sector.
Note that this information is for educational purposes only and not a recommendation.
Charts courtesy of StockCharts.com.
