Market Internals
Definition
Market internals are measures of what is happening underneath an index, such as how many stocks are rising versus falling and how much volume sits on each side.
Detailed Explanation
An index can rise on a handful of large stocks while most of the market falls, and internals show that. Common ones are the advance-decline line, up volume versus down volume, and the NYSE TICK, which compares stocks last trading on an uptick with those on a downtick. Day traders watch them to judge whether a move has broad participation. Readings that stay one-sided through the morning fit a trend day, while readings that swing back and forth fit a two-way day. Exact symbols and availability differ between platforms, so check yours before building a rule on one.
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