Current Liquidity Levels (转载）

jeff110

Many indicators are starting to show fatigue and/or negative divergences.

Investors sometimes wonder "why negative divergences or overbought conditions just keep hanging in there with the market moving higher?"

One very important element to this behavior has to do with Liquidity levels. Old timers would be quick to tell you that if money was moving into the market, then it would go higher. If money was leaving the market, it would correct.

In-flowing Liquidity can come from various sources ... individual investors, hedge funds, mutual funds, Institutional Investors, and foreign investors. I guess we should also add the Fed and government as they technically had equity interest in the market moving higher after the bailout.

In any event, watching Liquidity levels tells you a lot about what is happening, or going to happen. Liquidity level measurements do not tell you "who" is pouring money into the market or taking it out ... neither do they tell you "why" they are doing it.

Still ... it is very important to know what is happening to Liquidity levels because they explain WHY the market continues to go up when overbought, and they also help explain why the market continues to go down when oversold.

So what is happening to Liquidity levels now?

Our most current chart as of last Thursday gives you the answer below.

atrader

thanks

sooners

回复 1# jeff110


   

Blackjack1

thanks

slcgh

NND 我说为啥这样牛，原来如此。天算不如人算！

小小的鱼

holy cow!

wnd4

thanks