As they say, looks can be deceiving...
It might appear the NYSE Composite Index registered positive relative strength and momentum divergences last week when the index sank below its August low, but it's not late-June 2010 and the following proves it...
Precariously few NYSE-listed issues are sustaining the NYSE Composite Index, which at 7000 is about where it stood in the June-August 2010 period.
Last week's Bullish Percent dive positively diverges from readings in August, but this week's market recovery to early-September levels (again, around 7000) finds the NYSE Bullish Percent Index badly languishing.
So, in penetrating its deceiving looks the NYSE is seen still ominously leading the way lower. Circumstance demonstrating that, "Prices can fall of their own weight, but it takes buying to put them up" is amply displayed with this month's trading on the NYSE, this particularly so last week now extending into this week's trading, featuring a massive short squeeze of hopelessly insolvent banks and financials to start the week followed by three consecutive, failed CME jam jobs.
In fact given this week's buyer-less trading protesters on Wall Street might do the nation a favor were they to toilet paper the place, just so everyone knows what we're dealing with here...
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