The chart below measures the percentage of high relative strength stocks that are trading above their 50-day moving average (universe of mid and large cap stocks.) As of 5/4/10.
The 10-day moving average of this indicator is 88% and the one-day reading is 65%. This is a dramatic 1-week move from last week’s reading of 96%. This oscillator has shown the tendency to remain overbought for extended periods of time, while oversold measures tend to be much more abrupt.
