Jerry Samet
01-23-2023, 06:33 PM
The market continued its positive action today. After opening higher the major averages spent most of the session working their way higher. All the major averages finished high in their intraday trading ranges. The Nasd averages led the way with the COMPQ and the NDX gaining 2.01% and 2.18% respectively. The SPX was higher by 1.19%. Volume was higher across the board, showing that large institutional players were buying stocks today. Leading stocks had a good session as well. The leaders index was off by 1.22% on the day due to a 27% decline in CPRX, a component of the index. Volume was much higher, again due to CPRX. The index held its short term 9dma and closed high in its trading range. The market rallied today and the overall picture is improving. There are more stocks breaking out and we will have to see if they continue to rally. Both the COMPQ and the SPX are sitting right on downtrend lines that date back to the beginning of the bear market. A break above this line would be very positive. The evidence suggesting that the bear market is over is building. I think that we are in a bottoming process and it is very possible that the lows of this bear market are already in. The monthly Coppock is getting close to signaling on all the major averages and several secondary averages. This would be strong evidence of the start of a new bull market. Earnings season is here and next week there are many important tech companies report, as well as a couple this week. Events could always cause a sell off, but I am becoming more and more convinced that the bear is over and we will be heading higher from here. Jerry