Jerry Samet
09-10-2014, 11:16 PM
The market opened weaker today but had a positive reversal. After setting it’s intraday lows in the first hour the major averages rallied into the close to finish at their intraday highs. The COMPQ led the way higher with a gain of .75% while he SPY rose by .36%. The SPY bounced off it’s 21dma and closed comfortably above this support level while the COMPQ regained it’s short term 10dma. This is positive action for the market. Volume was mixed, slightly higher on the New York and a bit lower on the Nasd. It would have been better to see higher volume on the COMPQ considering it’s solid advance, but overall the action was encouraging. Leading stocks performed better than the overall market with the leaders index gaining .95% on higher and above average volume. The index climbed right back up to it’s important 17dma but was unable to get back above the level. We must see the index get above this moving average and hopefully back above the 9dma as well. Today’s action was generally positive, but additional strength with the kind of volume that shows that institutional players are buying is needed to confirm that the uptrend is intact. Jerry