I have been showing this $NYMO chart saying that the smart money has been bailing out of the market since mid October when the market reached the extreme bullish condition. I said to watch this -60 level. As of Friday there was a break below -60 which means this is more than a standard pull back. As long as the indicator is below -60 it is a very bearish condition for stocks. Below -60 extreme bearish, above + 60 extreme bullish. Between these two lines is neutral. It is as simple as that. It is not predicting anything, once again this is an if/then process. When above the green line I am looking to get bearish, when the market is below the red line I am looking to get bullish. Most people act in the reverse to that.
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