MACD of Price is Bearish Too

I was updating sentiment data this morning and noticed that MACD of price turned bearish on 11 June. That means that both MACD of Price (S&P 500) and MACD of Breadth (Advancing shares on NYSE) are bearish.

 

That changes Friday totals as follows: “On Friday, 21 February, 2 days after the top of this pullback, there were 10 bear-signs and 1 bull-sign. Now there are 9 bull-signs and 11 bear-signs. Last week there were 15 bull-signs and 4 bear-signs.”

 

With both MACD (Moving Average Convergence Divergence) for Breadth and Price negative, it suggests more downside ahead, but perhaps with a lower confidence level than usual. Bulls might argue that both were heavily influenced by the dramatic decline on 11 June and this could have been a “one-off” day.