What DIDN’T happen Friday was huge blow in terms of distribution, so the bulls are gaining traction. That said, the bears have ample opportunity to knock things down further and fill some gaps before more up volume takes hold. Both sides are battling it out so proceed with caution. Either way the oscillator will continue downward because the damage has been done. This will potentially put us in a long position in about a week or so. Do we care if the market goes up or down at this point? Not really, because if we get a convincing enough volume reversal, the risk/reward ratio will be quite high as volume can push things forward for quite some time. All we have to do then is tune out the noise and wait (That’s the fun part… easier said than done) …and that folks, is how TVO works! -MD
The TVO System results for 2014 are in and will be posted soon, so stay tuned!