Jerry Samet
10-18-2022, 06:31 PM
The market continued to work its way higher today. The major averages opened strong but ended up giving back some of the gains. They still closed with solid gains, while closing in the lower half of their intraday trading ranges. The COMPQ and the NDX gained .90% and .77% respectively. The SPX rallied 1.14%. Volume was higher across the board. It gained 18.76% on the Nasd and 6.16% on the New York. Leading stocks were higher as well with the leaders index gaining 1.13% on the day. The index closed high in its trading range on higher and above average volume. It cleared its short term moving averages and almost tagged its 50dma at its highs. The market continued higher today, but lost a good deal of early gains. At the highs there would have been a follow through, but the final gains were to small. The major averages are bouncing around their 21dma’s and clearing this moving average would be positive. There was a Eureka signal yesterday and a couple of other short term indicators are looking up. At this point it looks like the major averages will make a run for their 50dma’s. This moving average will provide significant resistance and may be the ceiling for this short term rally. Earnings reports will effect trading, but I would expect the market to test the 50dma’s of the major averages. Jerry