NASDAQ and Russell 2000 Advance/Decline Lines Lagging

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Typically at this time of the year, first half of June, NASDAQ and Russell 2000 are often leading DJIA and S&P 500. Historically, the month of June has been kinder to technology and small-cap stocks than others. Sure, June has been quite robust so far, but it has been DJIA and S&P 500 leading the charge higher. Their strength is also confirmed by NYSE and S&P 500 cumulative Advance/Decline lines at new highs already. NASDAQ and Russell 2000 cumulative Advance/Decline lines are weaker have not exceeded the highs reached last year. At the least, NASDAQ’s Advance/Decline line likely needs improvement for the market to make any meaningful headway.

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Stock Trader's Almanac (1285 Posts)

Jeffrey A. Hirsch is Editor in Chief of the Stock Trader’s Almanac. His latest book "The Little Book of Stock Market Cycles" (Wiley) was published in August 2012. As a frequent participant in the MrTopStep IM-Pro Trading Room, he shares trading insights with our other professional traders and new traders eager to experience the power of collective intelligence. Join us today and get the edge only social trading can give you.

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