Diffusion Indicators

It tells you how many stocks are holding above key averages like the 50 or 200-day. If most stocks are above those levels, the trend usually has some base. When that number starts slipping, you’ll often notice the market losing strength even before the index reacts properly.

It shows how many stocks are currently generating bullish momentum signals based on RMI conditions. When this percentage starts increasing, it often means momentum is building across multiple stocks at the same time - not just in isolated names.

It’s based on MACD crossovers, when the MACD line moves above the signal line. Instead of tracking this for one stock, the tool shows how many stocks are generating that signal together, which helps identify whether momentum is broad-based or limited.

RSI above 50 usually means momentum is on the stronger side for that stock. So when a good number of stocks stay above 50 together, it shows the move isn’t just coming from a few names. If that count drops, momentum tends to thin out across the board.

ADX above 25 generally indicates a strong trend, either upward or downward. When more stocks move above this level, it shows that trending behaviour is increasing across the market rather than staying confined to a few stocks.

They track stocks making new highs over different timeframes - weekly, monthly, or yearly. When more stocks start making new highs together, it usually points to stronger momentum and leadership within the market.