Jerry Samet
08-09-2022, 06:36 PM
The market staged a negative reversal yesterday. Today the major averages opened lower and were mostly down the rest of the day. The major averages closed in the lower half of their intraday trading ranges. The Nasd averages were hit the hardest with the weakness in semiconductor stocks. The COMPQ and the NDX lost 1.19% and 1.15% respectively. The SPX declined .42%. Volume was mixed. It gained 1.27% on the Nasd and declined 9.25% on the New York. This produced a distribution day on the COMPQ. Leading stocks were lower as well with the leaders index declining .36% on slightly higher volume. The index closed in about the middle of its trading range and bounced off the short term 9dma. The market action yesterday was negative as strong early gains disappeared. The rally seems to be struggling as the tone has changed in the last few days. The major averages never made it to their respective 200dma’s and are showing weakness now. There is evidence that the rally may be on its last legs. Tomorrow the CPI report will come out before the open and the PPI will come out on Thursday. Those reports will determine the short term action of the market. Tomorrow will be interesting. Jerry