Leaders Index 12-17-19

The market put in a quiet session today and traded in a very tight range. There was a slight positive bias in the major averages and they finished with small gains. The Nasd averages were a little stronger with the COMPQ and the NDX gaining .08% and .06% respectively. The SPX edged higher by .03%. The Nasd averages closed in the upper half of their intraday while the New York averages finished in the lower half of their trading ranges. Volume was also mixed, but little changed. Volume on the New York was 2.80% lower while volume on the Nasd was .70% higher. Leading stocks did a bit better than the overall market with the leaders index gaining .91% on the day. The index closed high in its trading range and is comfortably above its short term moving averages. Volume was higher and well above average. The market continues to act well. After yesterday’s nice rally the major averages held on to the gains and even made small progress in a quiet session. That is constructive action. We continue to see new closing highs in the major averages and encouraging charts. The leaders index has been lagging recently as quality growth stocks underperform. The action in the leaders index today was good. The gain was solid and it traded above the top of the consolidation of the last seven sessions on strong volume. The thing to watch for now would be for the leaders index to join the major averages in new high ground. A move to new highs on both a price and a relative strength basis would be very positive. Both are very close to their old highs. The overall picture looks positive right now and the rally looks like it is on solid ground. Jerry