State of Dow Jones - Calendar Week 42 2021

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Hi folks! Welcome to another part of the blog post series State of Dow Jones for Calendar Week 42 2021 Part three already. This week has been incredible for those that invested into the Dow Jones. But how healthy is the current price development and what's the outlook?   Technical Chart for Dow Jones Every "State of Dow Jones" blog post should start with the technical chart, so here we go (created on tradingview.com):   The Dow Jones managed to trade above its SMA 20 and also overcame the turquoise trendline / flag which happened to be at the 35 000 resistance level, which became a support shortly afterwards. The index only knew one direction during this week - upwards. The current price movement stopped a few points above the old all-time high and within the upper Envelope band. On the daily time frame, the index now looks slightly overheated. For now, the old all-time high around 35 631 holds, but it wouldn't be a big surprise if there was a small pull-back before t

Crypto breadth data (Advance Decline Line, McClellan indicators, over SMA 200 data etc.) for (Crypto) Indices

Market breadth data, such as Advance Decline Data, for Crypto currency indices

I am currently looking into generating breadth data, such as the Advance Decline Line, Advanced vs. Declined, the McClellan Summation Index, the McClellan Oscillator or "members above SMA50/100/200" for the crypto market.


Scouting Crypto indices

The first step would be to identify relevant crypto indices for my purpose.

This is what I've found so far:

  • S&P Crypto Indices - can't find the components so far (am I blind??)
  • BitPanda Crypto Indices
    • BCI5 (Bitcoin, Ethereum, BNB, Doge, Polkadot)
    • BCI10 (BCI 5 + others)
    • BCI25 (BCI 15 + 15 others)
  • WorldCoinIndex
  • Bloomberg Crypto Indices

 

Since Bitocin and Ethereum have the largest market cap by far, creating crypto indices doesn't make much sense if you don't have a weight limit for the biggest crypto currencies. But when comparing the prices to the breadth data, such as the Advance Decline Line, one gets a better impression if the crypto markets are rising or declining as a "market unit".

Implementation

I think I might start to implement the BitPanda Crypto indices first.

For each index, I will try to generate the following data:

  • Advanced vs. Declined for crypo
  • Advance Decline Line for crypto
  • Crypto index members above their SMA50
  • Crypto index members above their SMA100
  • Crypto index members above their SMA200
  • McClellan Oscillator for Crypto
  • McClellan Summation Index for Crypto

 

Since cryptos are traded 24/7 (right.. right??), it shouldn't matter at what time I generate the market breadth data. So I might do that before generating the market breadth data on the usual suspecds (NASDAQ, DOW etc.). 

This way, we'll have crypto market breadth data during the day.


Time frame

I think I'll start within the next 10 days. Once I started, I should have the first results within 1-3 days.


I will keep you posted.



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