Monday, August 24, 2015

LEIBOVIT VOLUME REVERSAL (VR) ANALYSIS FOR METASTOCK LOOKING AT THE DJ INDUSTRIALS - AUGUST 24, 2015

From the desk of top market timer Mark Leibovit:

Eight Negative Leibovit Volume Reversals (VRs) (tm) posted beginning on June 24 clearly signaled distribution in the marketplace.  Declining peaks since June 24 also helped confirm the pattern.  Please note that in all but one instance a declining 5/3/3/ stochastic confirmed this pattern. Here in this video we are looking at first the daily chart of the DIA and then peruse the weekly chart which provided further downside confirmation.  The DIA has been trading under both its 50 and 200 day moving averages since August 3 and is now in free fall. In the weekly chart, the 200 week moving average is the next line of defense and it currently stands at 15,400 in the DJ.  Bears are rejoicing and now being vindicated but that is not surprising as warnings for a big correction and/or bear cycle began with a negative 'January Barometer' eight months ago.

View the training video here:

http://youtu.be/QTs2w2Fr-nU

Happy Trading.

Jeff Gibby
MetaStock Business Development


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