Leaders Index 5-18-20

The market put in a strong session today. The major averages opened higher based on news of a potential breakthrough on the vaccine front. All the major averages closed high in their intraday trading ranges, a sign of support. The New York averages were the strongest with the SPX higher by 3.15%. The COMPQ and the NDX rallied 2.44% and 1.96% respectively. Some weakness in big cap tech stocks held back the Nasd averages. Volume was higher across the board. It was higher by 4.50% on the Nasd and 25.95% on the New York. Leading stocks were higher, but underperformed the overall market. The leaders index gained .35% on the session. The index closed in the lower half of its trading range on volume that was about flat. The action of the market was very positive today. News of a potential new vaccine caused a strong gap up open and the major averages spent the rest of the session holding those gains and working higher. A little late selling saw them close off their absolute highs. Volume confirmed the higher prices and showed that large institutional players were buying stocks today, especially on the New York. The leaders index made a new high today on both a closing and an intraday basis. The COMPQ and the SPX made new highs for the rally. The SPX is coming up on its 200dma and that is the next level of major resistance. The COMPQ has a gap in the chart going back to 2/24 and that is the next resistance. After that it is the old all-time highs. The action today was encouraging and we should see higher prices ahead as the market continues its run for the old highs. Jerry