IQIN - Probability Of A Q1 2021 Correction Increases

• The percentage of all NYSE stocks trading above their 200-day moving average has reached 85%. This is extremely overbought, one of the highest percentage levels of the last 30 years.
• In 13 of those 30 years (1990-2020), there were 6 "Super-Tops" and several lesser highs; 90% of them clustered in a 6-week period around January 1st.
• These percentage highs were followed in the coming months by brief, but sharp 2.5% - 5.0% - 7.5% - 10% - even 15% - drawdowns in the NYSE stock index.
• None of these corrections (approximately 5 corrections in each calendar year (2010-2020)) began bear markets, but were dips in the midst of an ongoing secular bull market.

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