Jerry Samet
11-28-2016, 05:52 PM
After the advance since the election the market pulled back today. The market opened lower and worked its way lower the rest of the session. The declines were pretty moderate. The COMPQ fell .56% while the SPX fell .53%. All the major averages closed at their intraday trading lows, a sign of little support. Volume was higher across the board. This is to be expected as Friday was a half day. The volume was higher than Wednesday on the New York and about even on the Nasd. This was enough to produce a new distribution day on all the major averages, but it should be taken with a grain of salt due to the holiday. Leading stocks declined as well with the leaders index declining 1.26%. The index closed near the bottom of its intraday range and tagged the 9dma at the lows. Volume was higher than Friday but a bit lower than Wednesday. The chart of the index still looks fine and as long as the index remains above its short term 9dma the will be no problem. The decline we saw today is probably overdue. It was pretty reasonable in the context of the post-election rally and the charts of the major averages look fine. There could well be some more weakness in the next few days, but the market is still acting pretty well. Jerry