Jerry Samet
12-18-2017, 06:16 PM
The market staged another strong rally today. After opening higher the major averages made their highs early and held them for the rest of the session. All the major averages closed in the upper half of their intraday trading ranges, a sign of support. The Nasd averages led the way with the COMPQ and the NDX higher by .84% and .73% respectively. The SPX gained .54% on the day. The greatest strength was in the semiconductors stocks with the SOX rallying 2.16% and closing at the highs of the day. Volume was lower across the board, as you would expect after an expiration day. It was slightly above average on the New York. Leading stocks participated in the rally with the leaders index higher by 1.52% on the day. The index closed high in its trading range and retook the important 17dma. This puts it above all its short term moving averages. Volume on the index was lower than Friday and well below average. You would like to see at least above average volume on a day with big price advances. The major averages pushed into new high ground and are looking good. Leading stocks seem to be trying to join the party and some big tech related stocks are rallying through resistance levels. It seems that after a nasty selloff in many quality growth stocks the market want to work its way higher. Maybe there was another fake out. It looks like at least the major averages will rally into the end of the year and we will have to see if quality growth stocks will follow. So far it looks like we will see somewhat higher prices at least through the seasonally positive holiday period. After that we will have to see. Jerry