Quote Originally Posted by adam ali View Post
Asomani above presents an interesting cumulative tick chart on the IWM that shows apparent accumulation. Yet, Manucastle in his post stated: Yesterday, the R2000 tick ($TIKRL) behaved VERY differently than the NYSE tick ($TICK) and the all market tick (TIKUSC). The R2000 declined for most of the day while the other 2 were generally rising.

Billy, do you know of an explanation for this apparent discrepancy?
Asomani and Adam,

I use Cumulatice TICK as a detector of buy/sell programs. There is no denying that the NYSE TICK points to program buying for the last two days. Now, as I mentioned elsewhere, the baskets of stocks being bought seems to be mostly defensive stocks. This is further confirmed by the lagging RUT TICK, since the RUT is mostly made up of "aggressive, risky" stocks. Hence, it is too early to call a potential bottom based on cumulative TICK alone, because we want to see "aggressive" buying programs, not "defensive" buying programs as first hints of a bottom.

These buy programs may also be used tactically to support prices in a consolidation before a new wave of selling.
Billy