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View Full Version : Leaders Index 12-1-16



Jerry Samet
12-01-2016, 06:41 PM
It was another ugly session today. The major averages opened lower and worked their way down the rest of the day. Most of the damage was in the technology sector so the Nasd averages took the brunt of it. The COMPQ fell 1.35% and the NDX lost 1.59%. The semiconductors were the worst performers as the SOX was lower by 4.85%. New York averages did better, but the SPX still lost .35%. Small and mid-cap stocks were lower as well with the RUT and MID falling .65% and .26% respectively. All the major averages closed near the bottom of their intraday trading ranges. Volume was mixed, higher on the Nasd and lower on the New York. Both were above average. Leading stocks were hit hard with the leaders index declining 3.49% on extremely high volume. The index closed low in its trading range and came crashing through its important support level at the 17dma. In addition the relative strength line is looking sickly. A lot of damage has been done in the last couple of days, particularly today. The COMPQ broke below its 50dma today on heavy volume, joining the NDX below this important moving average. There was an additional distribution day today on the Nasd averages. That makes four days in a row with distribution on at least one major average. This kind of cluster of distribution is very negative. That along with the leaders index breaking its 17dma are huge red flags. The rally that began after the election may well have run its course. Jerry