Leaders Index 4-15-14

This report is delayed due to a late Seder. The market was extremely volatile yesterday. After a solid early advance the major averages sold off and went on to look like there was going to be a substantial loss. They turned around in the last couple of hours and went on to solid advances. The SPY again led the way with a gain of .70% while the COMPQ was higher by .30%. Volume was higher across the board. The action of leading stocks was much more disappointing. The leaders index actually declined on the session with the index finishing down by .28%. It closed in the upper half of it’s trading range but is sitting right in it’s important 50dma. It traded most of the day below this level and has now penetrated this moving average three days in a row before closing slightly above it. The chart is looking pretty sickly. Yesterday’s action would be considered solid it it were not for the wild intraday action and the poor trading in quality growth stocks. There is very little that looks buyable right now anyway, and until we get a better idea of which way the market can go on any kind of a sustained basis it is a good idea to be cautious. Jerry