Jerry Samet
01-30-2023, 06:30 PM
The market opened the week with a sell off. The major averages opened lower and worked their way down the rest of the day. All the major averages finished near their intraday trading lows. The Nasd averages led the way down after being the biggest winners recently. The COMPQ and the NDX fell 1.96% and 2.09% respectively. The SPX lost 1.30%. Volume was lower across the board, showing that large institutional players were not heavy sellers today. Leading stocks sold off as well with the leaders index declining 1.36% on the day. The index closed low in its trading range on lower and below average volume, but held above all its short term moving averages. The market sold off today after a recent solid rally. That type of action is not unexpected after an advance. The COMPQ broke back below its 200dma that it overcame on Friday. This is not good and regaining this important moving average is important. On the other hand the lower volume shows that there was not heavy selling pressure today and there was also no new distribution. We have a very busy week ahead and news could move the market in either direction, but right now the overall picture is still positive. Jerry