Leaders Index 9-30-19

The market opened higher and rallied for most of the session. A little late selling saw the major averages close a little off their highs, but all finished high in their intraday trading ranges. The Nasd averages were the strongest with the COMPQ and the NDX gaining .75% and .88% respectively. The SPX rallied .50%. Volume was lower across the board. It was off by 6.53% on the New York and 15.66% on the Nasd. This is not what you want to see. Leading stocks rallied as well, but the advance was much less than Friday’s decline. The leaders index was higher by 1.30% on the session and it closed high in its trading range. Volume was lower and below average. There was a rally on a price basis today, but it was not very convincing. The price gains were nice, but mostly below the losses on Friday. Volume was the real culprit again. It was lower across the board. Higher volume declines followed by lower volume bounces usually don’t work out to well. The COMPQ remains below its 50dma while the NDX is sitting right on this important moving average. The New York averages remain above their 50dma’s. The action of leading stocks is really not encouraging. Few breakouts are producing worthwhile gains and many are failing quickly. Overall the weight of the evidence right now seems to point to lower prices. Jerry