Market breadth is extremely overbought.
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Today was remarkable for an occurrence of a very rare condition in the market. The Intermediate Term Breadth Momentum Oscillator (!ITBMRASPX) has exceeded the level of 200.
On the 2 other occasions this happened the market eventually fall rather sharply.
- On May 18, 2010 ITBM for the S&P 500 clocked in at 216.49. Market continued up for about 4% more, but then collapsed in an event now known as the Flash Crash
- On May 22, 2013 ITBM was at 217.73. Immediately afterwards the market went down over 6%
- Today, November 10, 2014 ITBM is a 207.32