Jerry Samet
08-01-2012, 11:10 PM
The market opened slightly higher then spent most of the rest of the day lower. It was little changed when the Fed report came and the major averages sold off. The Fed didn't announce any further QE and really said nothing new. The major averages all closed at the lows of the day. Volume was barely lower on the Nasd and higher on the NYSE. This produced distribution on the New York averages. Two distribution days in the first four days after an FTD is usually not a good sign. Leading stocks were weaker than the over all market as the leaders index dropped 1.34% on lower and about average volume. Only five stocks in the IBD 50 were up today. We have the ECB statement tomorrow and the employment report on Friday. These will set the tone of trading for the rest of the week. Jerry