WALL STREET CRAPS STOCK MARKET STRATEGY AUGUST 17, 2025
The stock market has been on a record upswing since April when I warned about a climatic bottom as indicated by a reading of “4” in the Fear/Greed Index. Now we are at the other end of the spectrum with the anticipation of a final top. But tops are more often trickier than bottoms to predict. The last confirmed high in the Dow Jones Industrial Average was on July 23rd about 3 1/2 weeks ago. I expect a closing high next week to be unconfirmed by many key indicators to signify an important top. The key other indicator that I’m especially looking at is a lack of strength in market leaders such as Nivida and Palantir.
Key underlying short-term timing indicators show the following:
- NYSE McClellan Oscillator – Ultimate Indicator – 53 (neutral)
- Nasdaq McClellan Oscillator – Ultimate Indicator – 56 (neutral)
- Volatility Indicator – Ultimate Indicator -59 (neutral)
- Risk On/Off Trend Indicator – Full STO Indicator – 57 (neutral)
- NYSE Advance/Decline Oscillator – Ultimate Indicator – 58 (neutral)
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NYSE McClellan Summation Index: This index’s oscillator has a current reading of 30. This indicates that a bottom is very near this area, but it is unclear how long it will stay in this area or how low it can go.
Fear/Greed Index: This popular indicator is in the “Greed” territory with a reading of 58. This does not indicator a buying area but could go in either direction.