Three days ago the market put in a follow through day.  Now, today we have a distribution day.

Here is what IBD had to say:

Bulls took a pounding Thursday as the major indexes tumbled and closed near session lows.

Sinking oil prices hit the NYSE indexes hardest. The NYSE composite and S&P 500 lost 1.3% and 1%, respectively. The Dow carved off 0.9% and the Nasdaq 0.8%.

Volume was up across the board.

All of the major indexes suffered a distribution day — a significant percentage loss in greater volume than the previous session. It points to institutional selling.

Historically, a day of heavy selling soon after a follow-through is a bad sign for a market uptrend. Yet it isn’t always deadly.

In August 2007, a distribution day came four sessions after the follow-through day. But that uptrend remained intact.

In March, a distribution day came only two sessions after the follow-through day. That uptrend also survived the hit.

As I said recently there are not that many set-ups out there.  Maybe we should wait to see a few more cards come out of the deck.