OT: IBD Market Under Pressure

I am dilenquent in this posting, sorry, I have been lounging in a vacation.

I believe it was announced Friday. It just means that the count of distirubiton days has grown worrisome (by historical back-testing measures). Distribution days are usually market down days on higher volume than previous day. They can all be “stalling” days where you go up and down but end about even on higher volume.

Here is today’s quote: Distribution days increase as the Nasdaq composite struggles to make decisive move above 200-day moving average

Usually it is time that causes dist-days to drop off the “time scale” and clear up - or accumulate to the point where is is an “official” “Market In Correction” call.

Today was a nice day with Naz and S&P up on higher volume, or as they said Just when the market uptrend was teetering, buyers came in to prop it up and keep it going at least one more day. The Nasdaq rose 0.8%. It not only made a bullish price reversal but it also climbed back above the 200-day moving average. The composite has yet to firmly establish itself above that line; buyers and sellers have skirmished around it for a couple of weeks…

…The market has been advancing in below-average volume, a sign that institutional investors lack a big appetite for shares. Yet, the cumulative effect of price and volume may not be so bad: The Accumulation/Distribution Ratings of the Nasdaq and S&P 500 are at good levels, …

In the U.S., optimism among small-business owners sank to a two-year low — a possible sign of a recession…

It bothers me that the market is still so tied to changes in oil prices. But the next few weeks of earnings should resolve that.

What does it mean for us? Maybe not much, we are purely fundamentals based on this board, BUT… there may be some opportunities coming.

I would expect plenty of volatilatiy during earnings as I suspect people are still edgy.

Pete

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