Almost 60% more IPOs in Q2 than last year, and 20 more than Q1. Are these all going to be successful companies, or are we just setting ourselves up for a big bust? Source: Over 90 Effective IPOs in Q2
not yet. The volatility is quite low to be worried about crash. In addition the number of stocks making new 52-week lows and listed in the Nasdaq 100 index is close to zero. The number of companies making 52-week high dropped but it is still high to keep the tech sector (nasdaq 100) from a crash. Seethe chart below. I would start worried about crash when I see on the NASDAQ 100 the number of new 52-week highs dropping below 3 or number of new 52-week lows advancing about 3. See Hindenburg Omen rule for pre-crash indication - while the rule was set for NYSE, the idea should be similar for the Nasdaq 100. At the same time I would like to see volatility (14-day absolute ATR) rising above 1.5% for a correction and above 2% for a crash