Jerry Samet
09-01-2016, 07:11 PM
The market continued it’s recent action and closed little changed. The major averages opened lower and it looked like there could be some substantial losses. After a couple of hours they bottomed and recovered the declines. The COMPQ closed with a gain of .27% while the SPX was flat at a 0.0% change. Both closed near the top of their intraday trading, a sign of support. The real strength was in the semiconductors as the SOX gained .86% and closed at a new high. Volume was lower across the board as many players are still on vacation and a lack of desire to take positions in front of the employment report due out before the open tomorrow. Leading stocks had a pretty solid session today with the leaders index rallying .82% on higher and above average volume. It is a good sign that quality growth stocks outperformed the overall market. The index is above all it’s short term moving averages and the relative strength line of the index is in new high ground. The leaders index and the major averages continue in their consolidation patterns, although the new highs in the relative strength line of the leaders index is encouraging. The employment report tomorrow will set the tone for trading and maybe move the averages out of their trading ranges. Also next week the summer breaks will be over and everyone should be back at work. jerry