Here's a chart of the FTSE All Share Index with some market indicators. These are different from standard technical indicators in that they are derived from all the components of the index rather than just the index itself. Some more details at
Stockcharts introduction to market indicators.
Some cut and paste commentary on what they can mean:-
* Advance/Decline Line
The Advance/Decline Line (A/D Line) is a measure of market strength and direction. Typically, a rising A/D Line (when more securities are increasing than decreasing) coincides with a rising market. If more securities are decreasing, driving the A/D Line lower, the market is usually falling.
Declining issues outnumber the advancing issues. This is causing the Advance/Decline line to fall. A falling Advance/Decline line indicates a falling market.
* McClellan Summation Index
The McClellan Summation index is a long-term version of the
McClellan Oscillator. Both indicators detect overbought and oversold conditions. High values are overbought and are considered bearish. Low values are oversold and considered bullish.
The falling McClellan Summation indicates a sell off is in effect.
My comment - it is not "oversold" and no sign of divergence. The selling could well continue...
* Cumulative Volume Index
The Cumulative Volume Index is a running total of the differences between Advancing Volume and Declining Volume. It is similar to On Balance Volume and is used to show whether volume is moving in or out of the market.
The Cumulative Volume Index is trending down, suggesting that money is moving out of the market.
My comment - note the Cumulative Volume Index has failed to make any new highs since April 2010. This was really when the EU crisis started to blow up in a big way.
* New Highs/New Lows Cumulative
The New High/New Lows Cumulative is similar to the Advance/Decline Line. It reflects the market direction based on the number of securities making new highs versus those making new lows. Generally, if more securities are making new highs, the market is moving up. If more securities are making new lows, the market is moving down. However, when this indicator reaches extremes, it signals the market is near to exhausting its motion in that direction and will reverse soon. Since extremes are difficult to identify until they happen, when this indicator is making new highs or new lows, it is a strong signal of market direction, but should also be viewed with the caution that a reversal may occur soon.
The falling New Highs/New Lows Cumulative shows weakness in the market. Look for a downtrend.