Over the last year, the total daily Nasdaq volume compared to the total NYSE volume has been a good indicator of stock market tops. The logic would seem to be that as investors get too bullish, more of their money goes into the "riskier" companies of the Nasdaq, and they are immediately rewarded accordingly. This chart comes from Matthew Frailey at Stockcharts.com |
“We are all agreed that your theory is crazy. The question which divides us is whether it is crazy enough to have a chance of being correct. My own feeling is that it is not crazy enough.” ― Niels Bohr
Click on any chart to engorge it
Click on any chart to engorge it