Odd-Lot Short Sales  (NYSE Members Report)

 

 

 

The NYSE Members Report is compiled by the SEC and issued about two weeks after the applicable date.

Every short seller anticipates a declining stock market. A profit is made if the stock is bought back at a lower price than when it was sold short. Odd lot transactions are made by small investors who can not afford to buy or sell short a round lot of 100 shares of a stock. In the old days this indicator reflected the shorting activity of the smallest of the small guys who were usually dead wrong at bottoms and tops. Since the introduction of options however it has lost a lot of its value. Many traders also sell in 99-share lots in fast markets for a better execution of their orders. Year-end tax selling and subsequent reinvestment distort the odd lot statistics as well  in the end of December and  early in January every year. But the odd lot short sales are nevertheless an excellent indicator to measure prevailing negative sentiment in the market. The chart below shows the weekly odd-lot short sales on a 4-week moving average.

 

Odd-Lot Short Sales: This indicator shows you the prevailing sentiment of the small investor. They are usually wrong at markettops and marketbottoms.

Delayed chart, subscribe for updated version!

Chart S&P 500    Chart Dow Jones
Historical data
 
  Past performance does not  guarantee future results!
 

The Financial Ad Trader
The Financial Ad Trader
technical analysis, market analysis, stock market analysis, Technical Stock Market Analysis, technical stock analysis, technical market analysis, technical analysis stock, technical analysis indicator, Vix, Volatility Index, Vix Index, CBOE Vix, CBOE Vix Index,Trin, Arms Index, Short term trading index, upside volume, downside volume,Short Interest, Nyse Short Interest, Short Interest Ratio, NYSE Short Interest Ratio, market data, Stock Market Data, market info, Stock Market Info,NYSE specialists, NYSE members, specialist short sales, member trading, public short sales, member short sales, NYSE Member Report, NYSE member trading, specialists short sales, technical indicators, market indicators, technical indicator, Stock Market Indicators, Technical Market Indicators, Stock Market Indicator, market indicator, Technical Stock Market Indicators, Technical Stock Market Indicator,