Jerry Samet
04-11-2013, 11:10 PM
The market opened strong today and although the major averages finished off their highs they closed with solid gains(except for the COMPQ) of between .09% on the COMPQ and .49% on the NYA. They also closed in the upper half of their respective trading ranges. Volume was mixed, higher on the Nasd and lower on the New York. This produced a stalling day on the COMPQ and brought it’s distribution count up to seven. Leading stocks worked their way higher with the leaders index up .33% on higher and about average volume. The index again closed above it’s 17dma but well off it’s highs. Quality stocks are struggling, as can be seen in the RS line of the leaders index, and recent breakouts are not making much real progress. The New York averages made new highs, there wasn’t the feel of strength in the market today. The overall market is outperforming quality stocks, which is a negative divergence that must be watched closely. Jerry