Leaders Index 5-28

The market had a very strong open, but the highs of the day were seen in the first hour. The major averages closed with solid gains on the day of between .55% on the NYA and .86% on the COMPQ. This finish was well off the intra day highs and in the lower half of the day’s trading range. Volume was higher and slightly above average across the board, but it was an easy comparison with Friday’s low volume. Most of the major averages regained their 10dma on the session. Leading stocks outperformed the overall market with the leaders index rising 1.26% on the day on much higher but about average volume. The index is back above it’s 17dma, but it too closed in the lower half of it’s trading range. The gains on the day were ok, but it would have been much better to see the market close strong at or near the highs of the day. Things look better than they did on Friday, but it would be encouraging if the major averages and the leaders index could regain the highs before last Wednesday’s reversal day with some conviction. Jerry