Study: the stock market has experienced some "distribution selling" recently

The S&P has closed in the bottom half of its daily range for 7 days in a row.

Oddly enough, this is more of a bullish sign than a bearish sign for the stock market

https://bullmarkets.co/distribution-selling/

 

Without context many of these stats are next to useless , how do these results compare to any random set of 7 days historically ? Underlying volatility , range , Mometum etc are variables that can offer context as well . I see a lot of these stats as trivia , I have no evidence either way but i see much of this as nothing but clickbait

 

Whatever sign it is, isn’t very conducive to my method. I’ve been bull trapped out of a sizable chunk of my annual gains. I can say that it’s an unusual pattern with no apparent “right” side based on historical volatility.

 

Caught the right side of it today. Recouped 1/3 of that sizable chunk

 

That observation like saying if the day begins cloudy it will turn sunny.
Keep it up though as it seems you are paying.

 

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Still a bull market you know??But looks like SEPT selloff came late this year LOL.

 

He did provide a filter, > 200 dma. Simple, yes. But when it comes to backtesting, less is more.

 

Usually works in a bull market; 200 dma, SPY, QQQ. Small caps may go down more+ then up more than SPY- they have in the past, but not a prediction.