Leaders Index 5-20

The market sold off yesterday after three days of a wedging rally. The major averages were down all day and closed at the lows of the day. We finally got higher volume, but it was on a down day, which is not what you want to see. The leaders were weaker than the major averages, declining 1.23%, also on higher volume. The index was turned back at the 17dma, which is pointed down and serving as resistance. The market appears to remain in a correction and the next thing to watch(in addition to the 50dma) is the 8% level that contains three fourths of all corrections. On the Nasd that would be 2645. If we go past this level we are probably looking at an intermediate tern correction, or worse. Jerry