SMO Exclusive: Status Change, -30% Market Strength Score 2024-10-02 (No New Longs)
Current Market Status
No New Longs because the current Stock Market Organizer Market Strength Score is NEGATIVE at -30% as of 2024-10-02 (scale is -100% to +100%).
- The -30% reading is considered early.
- Anything can happen in the market at any time for any reason but this "early" reading implies there is slack in the rubber band and a developing decline would have room to run.
Below is the corresponding Sector Risk Gauge.
Current 2024-10-02 Sector Risk Gauge, indicative of a -30% Market Strength Score. The underlying objectively measured change depends on the strengthening and weakening of the component industries and sectors.
Previous Directional Change
The most recent change to positive was Friday 2024-09-13 to +46%.
The most recent No New Shorts environment began after the 2024-09-13 trading day.
Below is the corresponding Sector Risk Gauge.
Context: Historical Bottoms
Given the negative strength score, see below for what important bottoms have historically looked like through a Market Strength Score and Sector Risk Gauge perspective.
Underlying Key Concepts
🔹 Signal duration depends solely on objective market action measurement.
🔹 It conveys what “is” – not “why,” or for how long.
🔹 It is an objective, repeatable, and reliable tool to
- enforce discipline,
- prevent unforced errors,
- eliminate emotion and confusion, and
- make sound decisions in all market environments.
This enforced discipline ensures new positions are opened only in the direction of market strengthening or weakening.
If strengthening, only new long positions can be opened.
If weakening, only new short positions can be opened.
Why? Trend respect.
Market weakening does not mean “exit existing long positions.” Only potential new positions are impacted by the critical question of “what is the market doing now?”
Existing open positions are exited when their behavior negates the entry thesis.