Jerry Samet
04-15-2015, 11:24 PM
The market had a good rally today. Even though late weakness saw the major averages close off their intraday highs they still closed with solid gains. The COMPQ led the way with a gain of .68% while the SPX gained .51%. They both finished in the upper half of their intraday trading ranges. Although neither of these averages made it into new high ground, the RUT, MID and NYA all did. The real key today was the volume. It rose strongly on both exchanges from yesterday and was above average on the New York. This makes today’s session an accumulation day, showing that large institutional players were buying stocks. Leading stocks had a solid session as well with the leaders index rising .78% on volume that was higher than yesterday but still below average. This shows accumulation in the index, but you might have expected it to be up more on a strong day like today. The index is just below it’s highs on both a price and a relative strength basis. Today’s action was encouraging and increases confidence that the rally could move higher. A move into new high ground by the two major averages would improve the picture further and be grounds for a more aggressive posture. Jerry