Jerry Samet
02-12-2015, 11:39 PM
It was a positive session today. The major averages had a gap higher at the open and climbed all day to finish at their intraday highs. The gains were solid. The COMPQ led the way with a gain of 1.18% while the SPX rose .96%. Small caps were strongest as the RUT gained 1.22%. Volume rose across the board, showing that large institutional players were buyers of stocks in a pretty big way. Leading stocks rose as well, but not as much as you would expect on a nice accumulation day in the major averages. The leaders index rose 1.36% and closed in new high ground above it’s recent consolidation. The index also closed near it’s intraday highs. The relative strength line of the leaders index is well below it’s recent high, so quality growth stocks are not outperforming the overall market, which is not what you want to see. The COMPQ closed above it’s consolidation with real conviction. The mid caps went further into new high ground and the small caps are right at new highs. Today’s action significantly improved the picture. There are several stocks that are in buyable position, and buying ETFs on the leading averages is probably a good way to go. Taking some positions is ok, but I wouldn’t get to carried away. Jerry