Leaders Index 5-18

The market rebounded today with the major averages rising between .65% and 1.14%. Volume was the key as it declined across the board. The market is selling off on higher volume and rallying on lower volume. This is not a sign of real underlying strength. The leaders are showing the same pattern. The index was up 2.36% today. It reclaimed the 50dma which is good, but it did so on lower and below average volume. There wasn't a lot of convection in the move. The market went up and down intraday as the dollar rose and fell. It seems the dollar is the controlling factor for now and should be watched for clues to the short term direction of the market. Jerry