Chaikin Archives - Cboe Blogs

  • Technical Analysis & Charts | Trader Talk | Education | Apr 20, 2015, 1:15 PM

    Market Breadth Indicators: An Important Measure of Sentiment

    Market Breadth Indicators:  An Important Measure of Sentiment

    Market breadth is simply how many stocks are being bought vs being sold and how much volume is behind it.  Breadth is an ideal temperature gauge of the market's health at any point in time, and like most indicators is a current read of where price action is likely headed.  Basically, this is not where the money is flowing but what direction (in or out).  Coupled with other sentiment tools such as put/call ratio, volatility index, rydex ratio and polls we can get a very accurate idea[...]