Jerry Samet
06-06-2016, 07:08 PM
The market had a solid session today with all the major averages gaining ground. They opened higher, and other than a short decline after Yellen spoke, they rallied the rest of the day. The COMPQ was higher by .53% while the SPX gained .49%. The small and mid cap stocks did best with the RUT up by 1.09% and the MID gaining .79%. All the major averages closed at or very near their intraday trading highs. Volume was disappointing today as it was lower across the board. You would like to see higher volume as the market mover higher. Leading stocks were higher today about in line with the overall market. The leaders index gained .58% on the day and closed near the top of it’s intraday trading range. Volume was lower than Friday and very light, as it has been for the last few days. The index has spent the last four trading days in a consolidation after an advance to new highs. This is happening on low volume, which is constructive. A break to new highs with conviction would be good. I have been saying recently that the next hurdle for the major averages would be to get over the recent highs set on 4/20. The COMPQ is sitting right at this level. The SPX got above those levels today but closed just below this important resistance. Today’s action was good and the market appears to be headed higher at least in the short term. Jerry