Log in

View Full Version : Leaders Index 12-15-14



Jerry Samet
12-15-2014, 06:49 PM
The market opened higher today and it looked early like we would regain a lot of what we lost on Friday. That lasted about an hour and then the major average started selling off until there were significant losses. The major averages closed a bit off their intraday lows but still near the bottom of their trading ranges. The COMPQ led the way down with a loss of 1.04% while the SPY declined by .63%. Volume was higher across the board so there was distribution on all the major averages. This brings the total to seven for the COMPQ and five for the SPY. This is a very high number that will likely cause IBD to go to a correction call. The New York averages are all now back below their 50dma’s while the Nasd averages approach this important moving average. Leading stocks were hit hard as well with the leaders index falling 1.40% and finishing near the bottom of it’s intraday range. The index is sitting on it’s 50dma and a break below this level is usually associated with a broken index. Last week I mentioned two nice breakouts, HABT and RH, and said they should be watched. HABT blew up in spectacular fashion today with a 17.19% decline on heavy volume. The breakout is dead. The chanced of making any real progress in this market is virtually nil. Unless you are going to short or use an inverse etf the beach looks pretty good. Jerry