Leaders Index 8-1-16

It was a mixed market with strength in the Nasd averages some weakness in the Nasd averages. The COMPQ rallied .43% and closed high in it’s intraday trading range while the SPX fell .13% and closed low in it’s trading range. Volume was lower across the board, so large institutional players were not heavily involved. Leading stocks were lower on the day with the leaders index falling .62%.more than the overall market. That saw the relative strength line of the index declining and putting in a lower low. The index closed in the upper half of it’s trading range, a good sign. It is just below the 9dma but held above the 17dma. It gas now tagged the 17dma for the last three days. The leaders index is in a consolidation and it must stay above the critical 17dma. Breaking this important support level would be a big red flag. The Nasd averages are leading right as the NDX went further into new high ground. The New York averages are consolidating at the moment. The rally is still intact but there are a couple of clouds on the horizon in the form of a leaders index that is struggling a bit and some weakness in the A’s minus E’s and the summation index. Jerry