Leaders Index 2-13-23

The market staged a rally today. The major averages opened moderately higher and worked their way up most of the session. All the major averages finished near their intraday trading highs. The Nasd averages led the way with the COMPQ and the NDX gaining 1.48% and 1.60% respectively. The SPX rallied 1.14%. Volume was lower across the board, showing that buying pressure was not particularly strong. Leading stocks were higher as well with the leaders index gaining 1.28% on the day. The index closed high in its trading range on lower and below average volume. The market rallied before the big inflation report tomorrow. The major averages posted solid price gains, but the volume was lower in both marketplaces. This showed that large institutional players were not buying stocks heavily today. The leaders index showed gains as well as it closed back above its short term 9dma. The index has been consolidating for over a week and the direction that it breaks will tell us a lot about the future direction of the market. Today’s gains were good after recent weakness and the overall picture still looks good. The CPI report comes out before the open tomorrow and that will set the tone for trading. A deviation from expectations in either direction will effect the market a great deal. There are more reports due out later in the week but this is the big one. Jerry