Jerry Samet
05-11-2020, 07:34 PM
The market put in a nice reversal today. After opening lower the major averages bottomed quickly and staged a nice recovery. A little late selling saw the major averages finish off their intraday trading highs but still high in their trading ranges. The Nasd averages were the strongest with the COMPQ and the NDX gaining .78% and .85% respectively as big cap tech stocks showed strength. The SPX was flat with a gain of .02% but recovered early losses. Volume was lower across the board, according to Esignal. It declined .85% on the Nasd, a small enough change for other data feeds to have different results, and 4.44% on the New York. Leading stocks were strong again with the leaders index gaining 3.78% on the day. The index closed high in its trading range and made new highs on both a closing and an intraday basis. The relative strength line is also at a new high and rising quickly. Volume was about the same as Friday. The market acted well today. There was early weakness and a quick reversal followed by a rally for most of the session. Some late selling saw the market close off its absolute highs but high in its trading range. Leading stocks are acting well as the strength in the leaders index shows. Quality growth stocks are outperforming the overall market, which is bullish. The market is clearly making a run to its old highs and it looks like there is a good chance it will make it. Those old highs would provide a lot of resistance so it would be interesting to see what happens if the market gets there. Jerry