Oversold

The chart below from Bespoke is a slight variation of what I normally post as it only looks at S&P 500 stocks and I look at all NYSE stocks. It shows that on a short term basis stocks are nearly as oversold as they were after the Japanese nuclear disaster. As I have written, this should produce a rally soon but I don't expect it to look anything like the one we saw in March. Back then everybody was talking about the end of the World while today people are talking about the oversold reading.

 

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