TVO Market Barometer 1/2/15

TVO MB 1-2-15b

Back on 12/26 we stated that 2014’s Santa rally was built like a house of cards in terms of volume. The cards have indeed begun toppling, but the TVO barometer reached a point of equilibrium last Friday, giving the Market a chance to take a breath. So the question is… was there enough of a distribution punch to keep things going in a downward direction? Once we reach Limbo on the dial, the odds favor that a reversal will be close at hand, but SPY still has a gap to fill and 202 is looking mighty close. At the very least a few days of confusion and regrouping are in order. -MD

The TVO System results for 2014 are in and will be posted soon, so stay tuned!

For more on market volume, The TVO System, or how to trade options follow me on Twitter (@TradingLicks) and StockTwits!