Jerry Samet
07-06-2013, 12:14 PM
The market rallied after a stronger than expected employment report before the open. The major averages climbed about one percent on the session with volume that was light, as would be expected on a Friday after a holiday. They all finished at their intraday highs. Volume was higher than Wednesday’s half session but there was no follow through as the major averages rose less than the required level. They did how ever break above their declining tops lines and the SPY joined the COMPQ above it’s 50dma. These are positive signs. Leading stocks rose about in line with the overall market as the leaders index rose .99% on higher but well below average volume. The index finished near it’s highs and right on it’s 50dma. The market is at a critical point here. It need follow through action next week with real conviction to show that this rally attempt is real. If it stalls out here it will likely head lower. Jerry