State of Dow Jones - Calendar Week 41 2021

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State of Dow Jones - Calendar Week 41 2021 Welcome to the second episode of the blog post series "State of Dow Jones", where we look at the leading US stock index from different perspectives and try to determine how solid the current development is. 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 overcame the old falling highs and the important resistance at 25 000, now trading at 35 294 points. The index is trading above its SMA 20 again and even went into the upper Envelope band. This means the Dow is slightly overheated and it is likely that the index will show a small pull-back before rising again. The RSI is at 60, three trendlines were identified and crossed during the last trading days. The technical chart provides us with enough confidence to say that the correction might be over and the outlook is neutral, or maybe even slightly bullish. Marke

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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