Friday, February 15, 2008

Price down, volume down

Volume was very subdued for an expiration Friday, (170M yesterday, 100M today) and there was little buying enthusiasm until then last hour. If you can get a 5 minute TICK chart up you'll notice that each time the TICK hit R1 (approximately 800), the market would reverse down. Now the general working theory in that when the TICK pops through the upper pivot or hits readings of 800+, that this is often a good time to buy as it reflects imminent buying power and a likley upward trend. Not today, and not yesterday either. I've got a little audio alert set for my platform that beeps when the TICK hits 800. It went off quite a few times today, and except for the last 60 minutes, that hight TICK signalled an immeidate downturn.
The markets continue to move in lockstep. Looking at the top chart you are hard pressed to say wheich is which without looking at the headers. The Qs have retraced back to 43.60, which was the lower support earlier in the week, and that last hour buying is of little consequence, as a lot can happen between now and Tuesday. Remember the last 3 day holiday?
Tomorrow I'll run the weekly Qs update and include a new TS chart with the DeMark daily indicator, which has been a pretty good cycle indicator for the Qs and the IWM.

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