Read the article about Caliber and Affinity in Modern Trader magazine.
S&P 500 Update For The Week Of November 18th
The 60-day Caliber fell slightly to 78 last week which means that over the last 60 trading days the S&P 500 behaved as if it was made up of 78 completely independent stocks. The recent sharp drop in Caliber indicates a decrease in the overall diversity of the market which may be accompanied by increased volatility. Higher Calibers sometimes coincided with better market conditions in the past but this might not be the case in the future. All stock trends are removed before the Caliber is calculated.
The correlation between a stock returns and stock Affinities rose to -0.13 last week which is historically low. The weekly ranking of stocks by Affinity is under the button below.