Leaders Index 7-22-14

The market had a positive session today. After opening higher the major averages held their gains the entire day before finishing in the upper half of their intraday ranges. This is a positive sign. Volume was higher across the board so it was an accumulation day on all the major averages. The COMPQ led the way with a gain of .71% while the SPY was higher by .50%. Small caps were strong also with the RUT higher by .83%. The SPY traded at a new intraday high before closing just below it’s recent highs. Leading stocks had a good day as well as the leaders index rose .80% on higher but slightly below average volume. The index closed in the lower half of it’s intraday range and didn’t quite break out of it’s recent trading range. The day’s action improved the overall picture as the major averages advanced on higher volume. There were a couple of nice looking breakouts today, particularly CMG, which had a buyable gap up. While increased exposure is ok now, staying close to the exits is probably a good idea. Jerry