[isatrader]

Would those views apply to investor positions as much as trader positions?    The reason I ask is there does not seem to be much in the way of a divergence in the advance / decline line for example.  THe % stocks abovre the 50 day MA was > 70% for a while but the % above the 200 day MA has only been grazing it and it does seem to vary depending on which dataset you pick.  I've not seen the breakdown in the momentum index that you have seen, and as I post elsewhere, I have been having data issues of late which makes apples to apples comparisons difficult.

Back to the % stocks above the 50 and 200 day MAs (I don't have 150 day data).  From my data it has been notable that they have been declining since the end of January but only crossed below 50% in the past week, right at the start of the meltdown.

The NYSE advance decline line was only showing some small divergences via the different Momentum indexes and the McClellan Oscillator and summation index. But the other Nasdaq AD Line and the NYSE AD Volume both had divergences and weren't making new highs with the price action.

With the Percentage of Stocks above the 50, 150 and 200 day MAs, they all gave bear alert signals in the middle of January (see investorsintelligence.com - Definitions of current Market Breadth Status) when they moved strongly back below 70% while the stocks were making new highs still. You are right though that the 150 day and 200 day only gave full bear confirmed signals on the breakdown this week. But the short term 50 day MA gave a Bear Confirmed signal on the 27th January.

So this and other changes is why I had been highlighting in my videos for the last month that we needed to protect our account and have a more defensive strategy. As the market was very extended after 5 months of running strongly higher, and the breadth was showing some weakness appearing, which is why I had downgraded the Weight of Evidence to Neutral + status before this weeks fall. Which means taking a more defensive strategy in my playbook. But that is obviously more difficult for an investor than a trader.