As I expected, there were no Dow stocks above their monthly starc+ band, unlike in 2018, when some stocks surpassed the starc+ band. At the correction lows in August, there were only 15% of the Dow stocks above their 50-day MA's. Table TomAspray-ViperReport.comThe most overbought stocks are also typically market leaders, so it is not surprising that Apple, Inc. (AAPL) is the most overbought, as it closed in November just 5% below its monthly starc+ band. JPM TomAspray-ViperReport.comThe second most overbought stock is J.P. Morgan Chase (JPM) which closed November at $131.65, 7% below its monthly starc+ band at $140. The monthly outlook for all of the four most overbought Dow stocks is clearly positive, but the example of AAPL in August and September of 2018 demonstrates what can happen when stocks or ETFs move outside of their monthly starc bands.

Source: Forbes December 07, 2019 12:11 UTC