Jerry Samet
01-28-2016, 07:28 PM
The market had a real roller coaster session today. There was early strength, followed by a large decline and then another rally. Finally some late buying saw the major averages close high in their intraday trading ranges. The COMPQ led the way with a gain of .86% while the SPX rallied .55%. These gains are much smaller than yesterday’s losses. Volume was mixed on the day, higher on the Nasd and lower on the New York. Leading stocks had an overall good day as well with the leaders index gaining 1.35% on much higher and well above average volume. The index closed near the top of it’s intraday range and held the confluence of three important moving averages. As I said yesterday FB gapped up at the open and held those gains the rest of the session. Many of the other mega cap stocks that have been driving the major averages were strong also, accounting for the outperformance of the COMPQ and the NDX. When you look at the charts of the major averages today’s action did little to change the picture. They seem to be consolidating recent losses and we will have to see which way they break from this consolidation. Jerry