Volume of shares traded in MSCI Europe have picked up recently. Slightly less than half of the constituents have their 50-day moving average exceeding the one year moving average. When we look at 20-day and 5-day moving averages, the proportion jumps to more than 60%--and close to 70%.
This uptick in volume as shares slide makes us wonder if the number of down days has put in a low. In some cases over the past few years, days down by 1% or more has tripled in just a couple of months' time.
Are we headed for an acceleration to the downside in Europe?