Jerry Samet
06-25-2012, 11:01 PM
The market got hit hard again today, mostly on more negative news from Europe again. The major averages declined between 1.6% and 1.95% on the day. Volume was lower than Friday, but this was due to the comparison with volume on the Russell rebalancing Friday. Other than that today had the feel of a true distribution day. We closed below the lows of the FTD so the MEM went back to zero, or all cash. IBD also went to market in correction due to the strong selling that also produced a Phoenix signal. Leading stocks generally got hit with only six stocks in the IBD 50 up on the day. The leaders index outperformed the overall market, declining only .91% on lower and below average volume. The RS line of the index went into new high ground. With the poor performance of the major averages and leading stocks the beach is the place to be. Jerry