• Menu
  • Skip to right header navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer

MAPsignals

We map big money.

  • Latest Insights
  • Power of MAP
    • MAP Products
    • MAP System
    • MAP White Papers
    • Videos & Interviews
  • Profit with MAP
  • About
    • About MAP
    • MAP Team
    • Authors
    • MAP System
    • MAP Products
    • Big Money Index
  • Members
    • Get Started With MAP
    • My MAP
    • Big Money Charts
    • MAP View
    • MAP View Options
    • MAP Top 20 Weekly
    • MAP 50
    • Member Updates
    • Platinum Updates
    • Members Only Posts
    • Performance
  • Portal
  • Latest Insights
  • Power of MAP
    • MAP Products
    • MAP System
    • MAP White Papers
    • Videos & Interviews
  • Profit with MAP
  • About
    • About MAP
    • MAP Team
    • Authors
    • MAP System
    • MAP Products
    • Big Money Index
  • Members
    • Get Started With MAP
    • My MAP
    • Big Money Charts
    • MAP View
    • MAP View Options
    • MAP Top 20 Weekly
    • MAP 50
    • Member Updates
    • Platinum Updates
    • Members Only Posts
    • Performance
  • Portal

MAP: Market update – Like Clockwork (2/6/2018)

August 22, 2018 //  by MAPsignals Staff//  Leave a Comment

It has been quite a while since I wrote anything other than my usual MAP VIEW commentary, “institutional buying continues to outstrip selling…” talking points. In fact, it’s been practically a year since any unusual selling has occurred.

Each week’s data has been the same, like clockwork… At MAP, we just kept waiting for the alert to come…the signal. That day finally came January 24th – the market was now officially overbought. Finally, there’s something new to talk about. And the best part is we can look historically at our data and see how these events tend to play out. Believe it or not, there are consistent patterns we’ve noticed over the years – I’d also call the patterns, clockwork.
 
As I write this, I want to point out a few patterns we pay attention to as it relates to the current meltdown happening in equity markets. There are 3 distinct data points that reveal themselves in times of stress that can shed light on potentially what’s to come in the days/weeks ahead. The first thing is that our overbought signal for the market, time and time again, is prescient in alerting us to when extreme readings of institutional buying is occurring, and thus unsustainable. These overbought signals, simply stated, are both rare and short-lived. Once the levels shift away from equilibrium and to extreme, it’s a warning. That warning came on January 24th.
 
The 2nd thing we can point to in times of market stress as it relates to our data is that when sell-offs of this magnitude hit, the 4% kind, we typically see multiple gyrations in the market in the short-term. There tends to be a ripple effect within the supply and demand mechanics of the market– thus keeping volatility elevated and resulting in high share turnover for days/weeks. What’s important here is the market is going through a much needed reset as institutional demand for shares is no longer a match to the level of increased supply. In the upcoming MAP View report, it will come as no surprise the level of institutional selling happening this week.
 
The 3rd thing we can point to, and most important to you the reader, is the level of selling we are experiencing now will eventually exhaust itself – ie buying opportunity. Looking at past intense selling, the spike in institutional activity tends to slow as we approach oversold levels. There is usually one sector that begins to lead as institutions start buying shares. This is what we’ll be paying attention to most in the coming days/weeks. We are going to want to see a waning in selling suggesting a rally is ahead. We will update you once the data shifts to oversold. Stay tuned and grounded.
we map big money
MAPsignals Staff

The MAPsignals staff are the true heroes of our firm.

Spread the word!

Category: All, Special Reports

Next Post: MAP: Creating a Stocktwits room to discuss growth stocks is what we’re talking about! »

Reader Interactions

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Primary Sidebar

Get Big Money Insights for FREE

Want to know where the Big Money is headed?

Just enter your email address below. You'll get our FREE NEWSLETTER sent directly to your inbox.

We call it Big Money Insights... It’s your weekly sneak peek at the powerful market-moving forces that are hidden from 99% of investors.

"*" indicates required fields

This field is for validation purposes and should be left unchanged.

Categories

  • All
  • Big Money Insights Weekly
  • Big Money Series
  • Macro Insights
  • MAP In The Media
  • Members Only
  • Performance
  • Podcast
  • Special Reports
  • Stocks
  • Videos & Interviews
  • White Papers

Archives

  • February 2023
  • January 2023
  • December 2022
  • November 2022
  • October 2022
  • September 2022
  • August 2022
  • July 2022
  • June 2022
  • May 2022
  • April 2022
  • March 2022
  • February 2022
  • January 2022
  • December 2021
  • November 2021
  • October 2021
  • September 2021
  • August 2021
  • July 2021
  • June 2021
  • May 2021
  • April 2021
  • March 2021
  • February 2021
  • January 2021
  • December 2020
  • November 2020
  • October 2020
  • September 2020
  • August 2020
  • July 2020
  • June 2020
  • May 2020
  • April 2020
  • March 2020
  • February 2020
  • January 2020
  • December 2019
  • November 2019
  • October 2019
  • September 2019
  • August 2019
  • July 2019
  • June 2019
  • May 2019
  • April 2019
  • March 2019
  • February 2019
  • January 2019
  • December 2018
  • November 2018
  • October 2018
  • September 2018
  • August 2018

Follow us on Twitter

MAPsignals Follow 1,434 1,061

MAPsignals is a data platform that tracks institutional money flows in stocks and ETFs. Sign up for free insights here: https://t.co/SaAVHjKC9J

mapsignals
mapsignals avatar; MAPsignals @mapsignals ·
52m 1621476848990359552

Pendulum has swung

Helene Meisler @hmeisler

Highest volume for the QQQs since 12/13

Reply on Twitter 1621476848990359552 Retweet on Twitter 1621476848990359552 0 Like on Twitter 1621476848990359552 0 Twitter 1621476848990359552
Load More...

Footer

© 2021 Mapsignals.com

  • Home
  • Contact & Disclaimer
  • Privacy Policy
  • Terms & Conditions
  • Opt-out preferences
  • FAQ

Copyright © 2023 · Mai Law Pro on Genesis Framework · WordPress · Log in

✕
What Happened to Risk Assets White Paper is Here

Get your copy here and take a journey through our thoughts on margin and leverage.

Enter your email address below and you'll get our FREE NEWSLETTER sent directly to your inbox. 

 We call it Big Money Insights... It’s your weekly sneak peek at the powerful market-moving forces that are hidden from 99% of investors.

MAPsignals
Manage Cookie Consent
We use cookies to optimize our website and our service.
Functional Always active
The technical storage or access is strictly necessary for the legitimate purpose of enabling the use of a specific service explicitly requested by the subscriber or user, or for the sole purpose of carrying out the transmission of a communication over an electronic communications network.
Preferences
The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user.
Statistics
The technical storage or access that is used exclusively for statistical purposes. The technical storage or access that is used exclusively for anonymous statistical purposes. Without a subpoena, voluntary compliance on the part of your Internet Service Provider, or additional records from a third party, information stored or retrieved for this purpose alone cannot usually be used to identify you.
Marketing
The technical storage or access is required to create user profiles to send advertising, or to track the user on a website or across several websites for similar marketing purposes.
Manage options Manage services Manage vendors Read more about these purposes
View preferences
{title} {title} {title}