{"id":194706,"date":"2025-04-20T13:13:27","date_gmt":"2025-04-20T13:13:27","guid":{"rendered":"https:\/\/peraltafinancing.com\/business\/investing\/bullish-percent-indicators-17-april-2025\/"},"modified":"2025-04-20T13:13:27","modified_gmt":"2025-04-20T13:13:27","slug":"bullish-percent-indicators-17-april-2025","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=194706","title":{"rendered":"Bullish Percent Indicators: 17 April 2025"},"content":{"rendered":"


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\"Bullish<\/p>\n

Most weeks there is so little market action among the major sectors and indexes that updating the Bullish Percent Indicator (BPI) data is unnecessary.\u00a0 Tariff uncertainty is roiling the markets to where updating is meaningful.\u00a0 The two tables below examine what is happening to seven major U.S. Equity markets and eleven sectors that make up the S&P 500.\u00a0 There is a lot of overlap in stocks held in the different indexes so pay most attention to the NYSE, NASDAQ, and S&P 500 in that order.<\/p>\n

Index BPI<\/strong><\/p>\n

How does one read the information in the following table?\u00a0 First look at the right-hand side of the table.\u00a0 Last week all indexes turned bullish.\u00a0 This week all are still bullish with exception of the transportation average (DJTA).\u00a0 The right side provides a broad or quick view of what is happening to U.S. Equities.\u00a0 Are stock moving up or down?\u00a0 If green they are moving up.\u00a0 If red they are moving down.<\/p>\n

Now move to the left side of the table for more precise information.\u00a0 Here we show the percentage of bullish stocks within each index.\u00a0 I favor the NYSE and NASDAQ as they hold the greatest number of stocks giving a broader view of what is going on in the U.S. stock market.\u00a0 Keep in mind we are not providing any information related to international equities.<\/p>\n

Take the NYSE.\u00a0 This week, which ended on Thursday, the index closed with 30.77% of the stocks bullish, up from 22.74%.\u00a0 Green background indicates the index is oversold while red indicates the index is overbought.<\/p>\n

Before moving down to the Sectors, take a close look at DJTA.\u00a0 While the right side tells us the index is bearish (red) the percentage moved up from 25% bullish to 30% bullish.\u00a0 This \u201canomaly\u201d occurs when there is a shift during one of the last trading days of the week.\u00a0 In other words the index went up most of the week, but then fell at the end of the week moving the index from bullish to bearish even though the percentage gain for the entire week was up.\u00a0 This is another reason why I pay more attention to percentages vs. the bearish-bullish moves shown on the right side of the table.<\/p>\n

\"Bullish<\/p>\n

Sector BPI<\/strong><\/p>\n

The following table breaks the U.S. Stock Market into 11 Sectors.\u00a0 This is where we go for information as to how to manage the three Sector BPI portfolios.\u00a0 They are:\u00a0 Carson, Franklin and McClintock.\u00a0 To learn more about the Sector BPI management model, follow one or more of these portfolios.<\/p>\n

As this week closed, only Discretionary is oversold.\u00a0 Several sectors are barely out of the oversold (green) zone.\u00a0 As I recall, Staples dipped into the oversold zone mid-week so we were investing in all sectors with exception of Utilities.\u00a0 Due to lack of cash I may have missed populating all sectors up to the recommended percentage.<\/p>\n

The underlying hypothesis behind the Sector BPI investing model is to buy low and sell high.\u00a0 Do to an oversold market recently we moved into most of the sectors.\u00a0 Now we patiently wait for individual sectors to rise to the overbought zone (70% bullish or higher) at which time we place a 3% Trailing Stop Loss Order (TSLO) under the ETF representing that particular sector.<\/p>\n

There are few other tweaks to managing the Sector BPI portfolios.\u00a0 Readers will pick up these fine points by following the management of the three critical portfolios.<\/p>\n

\"Bullish<\/p>\n

What does a Point an Figure (Pnf) graph look like?\u00a0 Here is a link to the Energy sector<\/a><\/em><\/strong><\/span>. A few things to note.<\/p>\n