Wednesday, February 20, 2013

Slow grind comes to a halt

Distribution on the indexes today.  This is the first day in a long time a meaningful distribution has occurred in terms of breadth.  The Markets have been rallying in a grinding fashion on low breadth  since the beginning of the year.  The breadth numbers I track have been steadily approaching a correction zone.  Today the slow grind has come to a halt.  Now is the time to tighten stops or take profits if you have any.  While one day of distribution doesn't make a downtrend, it pays to be cautious!