Leaders Index 5-14-25

The market had a bit of a mixed session today, but overall slightly positive. The major averages opened a bit higher and mostly went sideways, before closing high in their intraday trading ranges. The NASD averages led the way with the COMPQ and the NDX gaining .72% and .57% respectively. The SPX was higher by only .10%. Volume was mixed, higher on the NASD and lower on the New York. Leading stocks were higher as well. The leaders index gained .77% on the day. The index closed high in its trading range on lower and below average volume. This is a new high for the index on both a price and a relative strength basis. The market was generally positive today and mostly took a rest after recent gains, although the NASD averages did pretty well. After the strong action of the last few days a rest or something of a short pullback would be expected. The rally has turned out to be stronger than I had expected. The weekly Coppock signal seems to have juiced it. We are not that far from the old highs of late last year and early this year. This has been an unusual bear market. It looks a lot like the Covid selloff of 2020. If the major averages rally convincingly into new high ground than it may be a short event driven bear like 2020. If it goes down in a third leg that takes it back to recent lows or even beyond it will look like the more standard bear market that we saw in 2022. We will have to wait and see how it plays out. There is a lot of economic news tomorrow, ranging from the PPI to retail sales. The market is acting well right now, and participation is warranted. Jerry