In this lesson, David introduces a mixture of markets, with the SPY, some ETFs and the VIX on the market strength indicator for NinjaTrader 8. In addition to the SPY he has added the QQQ, the DIA, and the IWM so a full house of the major indices.
Once again, this gives us a visual representation of which are strong, which are weak, those which are potentially oversold or overbought, the strength of trends, and much more. And in addition, and something we often see, is whether there is any divergence in terms of the indices which we should be aware of immediately, as if we are trading in one, and the others are moving in the opposite direction, the risk on the trade is that much higher.