IGVSI Issue Breadth Statistics (06/30/10)

Issue Breadth Statistics are the single most reliable indicator of what is going on in the stock market--- daily, monthly, annually, whatever. Clearly, if more issues are going up in price more often than down, most of the time, for a meaningful period of time, so should the Equity Bucket of the investment portfolio. Unfortunately, NYSE Issue Breadth Statistics have never been individual-equity-only statistics, and today, they count more derivative products than anything else.  

IGVSI "breadth statistics" signal changes in direction within Investment Grade Value Stocks only--- all CEFs, ETFs, REITs, and preferreds (and individual issues that are NOT investment grade) are excluded. Issue Breadth Statistics should allow investors to look inside an index to obtain a better feel for what has been going on--- these numbers will help you do just that. 

Cumulative issue breadth figures were negative from June '07 through February '10 --- roughly thirty-three months, and a longer than usual correction. In March, we soared into the black with the best monthly issue breadth numbers since early 2007.  The up trend had weakened during the last week of April, and came to an abrupt halt in May, with the worst numbers in more than a year--- the correction continues.

Yes, you were warned to take your profits --- now you should be re-investing your "smart cash"

What does all this mean? See the Investment Grade Value Stock Expectation Analyzer.