FullyInformed.com
Generic filters
Exact matches only
Search in title
Search in content
Search in excerpt

Understanding Stock and Index Divergences In Market Direction Analysis – Investor Questions

Jun 7, 2015 | ASK TEDDI, Stock Market Outlook

On my Yahoo Forum an investor wondered about stock and index divergences when it comes to following the overall market direction. Let’s take a look at her question and a few answers.

Investor Questions

Hi Teddi,

The S&P500 sure looks a bit vulnerable at the moment BUT I’m seeing the Russell 2000 hold up well and a triangle breakout on Fedex no less.

Does this kind of divergence speak to you at all at time like these?  Mary.

Stock Divergences

When markets are caught in a moderate pullback studying individual stocks or sector specific indexes can assist in understanding overall market direction changes and trends. The rest of this article is for FullyInformed Members.

Understanding Stock and Index Divergences In Market Direction Analysis – Investor Questions

FullyInformed USA Members can review this strategy discussion article  directly through this link or they can sign in to the full site here. Non-members can join here or read about the benefits of a membership.


Disclaimer: There are risks involved in all investment strategies and investors can and do lose capital. Trade at your own risk. Stocks, options and investing are risky and can result in considerable losses. None of the strategies, stocks or information discussed and presented are financial or trading advice or recommendations. Everything presented and discussed are the author’s own trade ideas and opinions which the author may or may not enter into. The author assumes no liability for topics, ideas, errors, omissions, content and external links and trades done or not done. The author may or may not enter the trades mentioned. Some positions in mentioned stocks may already be held or are being adjusted.

Internal Market Direction Links

Understanding The Market Direction Portfolio – Good Place To Start

Market Direction Portfolio Articles Listing

Market Direction Portfolio Trades for 2015

Market Direction Portfolio Trades for 2014

Market Direction Portfolio Trades for 2013

Market Direction Portfolio Trades for 2012

Profiting From Understanding Market Direction (Articles Index)

Market Timing Articles Index

How I Use Market Timing

Understanding Short-Term Signals

Various Market Timing Systems

Market Direction External Links

Market Direction

IWM ETF Russell 2000 Fund Info

Market Direction

SPY ETF 500 Fund Info

Recent Outlooks

Stock Market Outlook For Tue Jul 15 2025 – All About Bank Earnings – Outlook Is Higher

Prior Trading Day Summary: On Mon Jul 14 2025 stocks traded in a fairly tight range but managed to squeak out a gain by the close as investors prepared for bank earnings due out this morning. The SPX rose 9 …

Morning Investing Strategy Notes for Mon Jul 14 2025

For FullyInformed Members the morning Investing Strategy Notes for Mon Jul 14 2025 review the outlook after a negative prior week and the outlook ahead of bank earnings on Tuesday. Stocks discussed today include Micron Technology Stock (MU), IWM ETF, …

Stock Market Outlook For Mon Jul 14 2025 – Weakness – Dips Likely – Lower Close

Prior Trading Day Summary: On Fri Jul 11 2025 investors focus reverted to ongoing tariffs with Canada, the EU, Mexico and other countries. Markets were soft with lower closes but selling was muted. The SPX fell 20 points to close …

Morning Investing Strategy Notes for Fri Jul 11 2025

For FullyInformed Members the morning Investing Strategy Notes for Fri Jul 11 2025 review the outlook after another higher close on Thursday. Stocks discussed today include the Starbucks Stock (SBUX), Micron Technology Stock (MU), Uber Tech Stock (UBER) and more …

Stock Market Outlook For Fri Jul 11 2025 – More Weakness – Possible Higher Close

Prior Trading Day Summary: On Wed Jul 9 2025 investors continued with their buying of large cap stocks with a large percentage of the trades in the so-called Magnificent 7 stocks. The SPX rose 17 points to 6,280 on 5.4 …

Morning Investing Strategy Notes for Thu Jul 10 2025

For FullyInformed Members the morning Investing Strategy Notes for Thu Jul 10 2025 review the outlook after a higher close on Wednesday. Stocks discussed today include the Delta Air Lines Stock (DAL), Starbucks Stock (SBUX) and more. The morning Investing …

Stock Market Outlook For Thu Jul 10 2025 – Choppy, Dip Possible But Still Up

Prior Trading Day Summary: On Wed Jul 9 2025 investors shrugged off the tariff concerns and returned to buying. Semiconductor stocks in general rose with NVIDIA Stock (NVDA) leading the way to a new hhigh and a $4 Trillion dollar …

Morning Investing Strategy Notes for Wed Jul 9 2025

For FullyInformed Members the morning Investing Strategy Notes for Wed Jul 9 2025 review the outlook after a second day of weakness on Tuesday. Stocks discussed today include the VIX ETF, Delta Air Lines Stock (DAL), Helen of Troy Stock …

Stock Market Outlook For Wed Jul 9 2025 – Morning Weakness Possible But Higher Close

Prior Trading Day Summary: On Tue Jul 8 2025 investors were still contemplating the outcome of tariffs and its impact on the economy. Stocks wandered more than they had on Monday. By the close the SPX was slightly negative while …

Morning Investing Strategy Notes for Tue Jul 8 2025

For FullyInformed Members the morning Investing Strategy Notes for Tue Jul 8 2025 review the outlook after a down start to the week yesterday. Stocks discussed today include Tesla Stock (TSLA), SPY ETF and more. The morning Investing Strategy Notes …

Stock Market Outlook For Tue Jul 8 2025 – Bounce Likely But Lower Close

Prior Trading Day Summary: On Mon Jul 7 2025 more tariff “talk” gave investors a reason to take profits. With stock indexes at historic highs,profit-taking was obvious for the start of the week, especially after the long July 4th weekend …

Morning Investing Strategy Notes for Mon Jul 7 2025

For FullyInformed Members the morning Investing Strategy Notes for Mon Jul 7 2025 review the outlook following the long 4th of July holiday weekend. Stocks discussed today include TQQQ ETF, Apple Stock (AAPL), Chevron Stock (CVX) and more. The morning …

Stock Market Outlook For Mon Jul 7 2025 – Some Weakness But Higher Close

Prior Trading Day Summary: On Thursday July 3 the June employment report surprised analysts once again as predictions of low employment numbers were easily beaten. 147,000 new jobs were created, easily beating estimates that ranges from 90,000 to 110,000. Analysts …

Morning Investing Strategy Notes for Thu Jul 3 2025

For FullyInformed Members the morning Investing Strategy Notes for Thu Jul 3 2025 review the outlook as the SPX prepares for the June non-farm payroll report due out today.. Stocks discussed today include SPY ETF, TQQQ ETF and more. The …

Subscribe For The Latest News