Jerry Samet
01-06-2015, 11:14 PM
The market took another real hit today. It opened lower and continued down all day. All the major averages closed near their intraday lows,a sign of weakness. The COMPQ led the way down with a loss of 1.29% while the SPY declined by .89%. Small caps took the worst hit with the RUT selling off by 3.13%. Volume rose dramatically across the board and was above average. This shows that big institutional players were dumping stocks and there was distribution all around. Leading stocks got hit as well with the leaders index falling 2.40% on heavier but below average volume. There was distribution here as well and the index closed well below it’s important 17dma. There really isn’t any reason to be in this market. The long side has not been working for some time and with all the reversals we have had in the last year after declines the short side is dangerous. For now the best place to be is on the sidelines. Jerry