Home » General World News » The stock market just flashed a dangerous warning signal

The stock market just flashed a dangerous warning signal





10 9 17 spx rsi COTD

For months, stock market pessimists have been saying US equities are overvalued.

And as of this past week, they have a major piece of tangible evidence.

The measure in question is the so-called relative strength indicator, which indicates when the stock market has gotten too stretched in either direction. An RSI measure exceeding 70 means the market is overbought and a downturn may be imminent. A drop below 30 indicates an oversold condition.

The RSI for the benchmark S&P 500 climbed above 70 last week and stayed in that overvalued territory for five straight days. The index’s repeated climb to read more >>>

Source:: BusinessInsider.Com

Comments are closed.