Market Breadth – January 7, 2008

January 7, 2008 | Posted by Jorge

Here’s the close of the day’s market breadth:

A couple of interesting things to note. The markets today were extremely choppy and the volumes showed it. Every time the markets decided to switch direction, the volumes from the exchanges showed it. The bears kept their teeth in the NASDAQ and the final result was another down day with a 5 point loss for the index. The NYSE faired better and as a result the S&P and DJIA ended up slightly higher. What concerns me are the TRIN readings for each exchange. The TRIN readings barely rose above the 1.2 oversold reading for both exchanges. While we’re due for a healthy bounce soon, I don’t think it’ll be tomorrow.

On Friday, I assumed Monday would bring some sort of relief bounce and as a result I sold off quite a bit of my put positions. While I made nice profits on my positions, there’s one position I knew I didn’t need to close but closed anyways for some reason, especially after explaining my thoughts about it to the folks at thinkorswim. The stock? The graph below will explain it. Have a great evening and I’ll see you tomorrow!