3-4-18 Market Commentary


Sand 2 Pirls Market Commentary Subscriber email:

Market Breadth: With this past week’s market decline, our Bull/Bear Point and Figure Ratio at 0.57 fell from 0.81 last week, declining within bearish territory. The total count of securities in bullish or bearish patterns increased fractionally to 2633. The count of bearish stocks increased 16%, while the count of stocks in bullish patterns decreased 18%. The Sand 2 Pirls P&F Market Breadth Summary Chart shows us a market now five weeks in bearish territory. Paid subscribers have access to the OpenOffice Calc data from which the chart is generated.

The well known market breadth indicator, the NASDAQ McClellan Summation Index (NASI) rose 19 points for the ninth advance in 20 weeks. At a negative 64.35 points, it continues below all eight tops in the last 30 months, continues above all five bottoms below -100 in the last 30 months. 

Volume Analysis: In this week’s volume analysis, the NASDAQ Composite Index ended in neither Accumulation nor Distribution mode with average daily volume higher than the prior week. In the last two weeks the NASDAQ had zero (0) Accumulation days and four (4)Distribution days. (Accumulation days are counted when the index closes up on higher volume than the prior day while Distribution days occur when the index closes down on volume higher than the prior market day.) Last week, the NASDAQ ended in neither Accumulation nor Distribution mode on lower average daily volume.

Momentum: At Monday 2/26 close, the CCI(20) daily had 6 days above zero to begin a Woodie’s Up trend, At +21.61, down from +44.46 last week, it is within the +/-50 range for a ZLR Long entry signal, but hasn’t yet formed a valid ZLR Long pivot with the slope out exceeding the preceding slope in.
In Woodie’s CCI trading system, six consecutive bars above or below zero are required for a change of trend. The Weekly CCI(20) of the NASDAQ Composite Index began a Woodie’s up trend ninety-six weeks ago, while the Daily CCI(20) began a Woodie’s up trend this past week.
A Friday 2/16 close, the CCI(20) weekly presented a ZLR Long entry signal for Monday 2/19 open. This week the CCI(20) weekly fell to 85.7 from 106.21 last week, signaling the exit of our trade simulation at next Monday’s open We will report the result in next week’s commentary.
Industry Rotation the last two weeks: All of the top five industries are  positive and all of the bottom five are negative. Summary: S&P Retail and some tech on top; REITs and Gold & Silver on the bottom. Bullish: Comp Tech, Semis PHLX, Disk Drives, and S&P Retail  continue in the top five. Gold & Silver continues in the bottom five. Networkers has left the bottom five. Bearish: REITs continues in the bottom five.
Focus this week: From www.ourworldindata.orgIt’s Not All Bad – These 6 Charts Show How The World Is Improving“. The following are some key points and charts.

It only takes a few minutes of cable news to get the feeling that the world is heading into a tailspin.

Endless images of homicide investigations, natural disasters, car crashes, and drug busts fill the airwaves on a daily basis. It’s upsetting – but also certainly captivating for the average viewer.

In fact, as Visual Capitalist’s Jeff Desjardins notes, the news cycle thrives on fear and violence, so mainstream networks find a way to fill up 99% of programming with these singular events. It’s addicting and sometimes anger-inducing, but is it representative of what’s really going on in the world?


Today’s infographic comes to us from economist Max Roser of Our World in Data, and it highlights six megatrends that show that in many important ways, our world is improving drastically.

Good News Happens Slowly

Today’s infographic comes to us from economist Max Roser of Our World in Data, and it highlights six megatrends that show that in many important ways, our world is improving drastically.

The one commonality of these six indicators? They all happen slowly and incrementally, but are more evident with a long-term perspective.

Each family lifted out of poverty, each classroom that gets built, and each village gaining access to basic vaccinations may not seem significant on a scale of billions of people – but over decades, these gains add up to create a richer, more educated, and healthier world and a very powerful statistical story.

Six Global Trends

Here are the six big picture trends pointed out by Roser, using data collected over hundreds of years:

1. Extreme Poverty
The portion of people in extreme poverty – making less than $1.90 per day – has dropped like a rock over the years. Back in 1940, about 75% of the world was in extreme poverty – today, that number is just 10%.

The most potent recent example of this is China, where access to free markets have enabled 700 million people to be lifted out of poverty in just over 20 years.

Poverty in China

It’s also worth mentioning that statistics for this category are done using inflation-adjusted international dollars, which take into account inflation over time as well as exchange rates. Non-monetary forms of income are also included in the calculations.

2. Basic Education
In 1820, only a privileged few were able to get basic schooling. Since then, millions of classrooms and schools have been added around the globe, and the numbers are staggering. In relative terms, we’ve gone from 17% of people having a basic education to 86% today.

Here’s a more detailed breakdown of this, also from Our World in Data:

Level of education of world

3. Literacy
Following a similar trend line as basic education, literacy has risen from 12% to 85% over roughly two hundred years. In absolute terms, these numbers are even more impressive. In the 1820s, there were only about 100 million people that could read that were 15 years or older. Today, the number stands at 4.6 billion.

4. Democracy
While the world has been having some short-term setbacks when it comes to freedom and democracy, the overall trend line is still impressive over the long run.

In 1900, only 1 in 100 people worldwide lived in a democracy – and today, the majority (56 in 100) can say they live in a country with free and fair elections.

5. Vaccination
Vaccinations for diseases like whopping cough, tetanus, and diphtheria were unavailable for most of the 200 year chart. However, today around 86% of people globally are vaccinated against these basic and devastating illnesses.

6. Child Mortality
Even as far back as 1920, it used to be that over 30% of infants would die before they hit their 5th birthday.

Since then, developments in housing, sanitation, science, and medicine have made it so that death is a much rarer occurrence for the youngest people in our society. Today, on a global basis, child mortality has been reduced to 4%.

–Donald Pirl www.s2pmarketsignal.com

S2P Market Signal Commentary may be freely forwarded and otherwise distributed providing content is unchanged and authorship acknowledged.

2017 Sand2Pirls, Inc. All rights reserved. [Terms of Service ]

Leave a Reply