TVO Market Barometer 2/5/15

TVO MB 2-5-15b

In today’s rally, overall volume fell and the oscillator has slipped back a notch, which means that recent up and down volume are now in a tight balance. If tomorrow’s job report proves to be the catalyst it’s been in the past, then the values will turn towards positive again. But if resistance proves too strong and we get knocked down from here, well, it may take a little more volume to pick up the pieces and get things rolling again this time. In the short-term the fight is far from over… but it is possible to see higher prices as TVO continues to fall (in which we’ll add, not short), as the bulls wallow in the now shrinking volatility. Our long-term market timing thesis and volume trend is still intact. Still, the bears may have a surprise attack or two in the meantime, so stay nimble out there. -MD

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