This Top-Heavy Market Has Poor Breadth

Most of the indexes closed lower yesterday, with negative internals on the NYSE while the Nasdaq had negative breadth but positive up/down volumes. The Dow Jones Transports broke another support level, while the current short-term trends remain a mix of neutral and negative. The data is mixed, but is suggestive of a short-term bounce. We are of the opinion that this bounce is likely occurring within a weakening market structure, so we are maintaining our near term "neutral/negative" outlook for the major equity indexes. 

On the charts, the only indexes closing higher yesterday were the S&P 500 and Dow Jones Industrials. And those gains were seen within a day of negative breadth and up/down volumes on the NYSE. It is suggestive, in our opinion, of a continuation of deteriorating of market breadth. ...316 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

Read the full story and get access to the Real Money Pro trading floor.

There’s no substitute for a trading floor to get great ideas, so Jim Cramer created a better one at Real Money and blogs there exclusively. We then added legendary hedge fund manager, Doug Kass, with his exclusive Daily Diary and best investing ideas. Staffed with more than 4 dozen investing pros, money managers, journalists and analysts, Real Money Pro gives you a flood of opinions, analysis and actionable trading advice found nowhere else, and allows you to interact directly with each expert.

Already a Subscriber? Please login.

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data provided by Interactive Data. Company fundamental data provided by Morningstar. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by Interactive Data Managed Solutions.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

IDC calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.