Leaders Index 12-9-14

The market got off to an ugly start today as the major averages sold off hard on weakness in Asia and Europe. The major averages had some pretty good losses but less than an hour into trading everything reversed and the market started climbing. There was a steady climb until the major averages closed at their intraday highs. This constitutes a reversal day. The Nasd averages closed solidly in positive ground with the COMPQ climbing .54% while the SPY finished about unchanged. Volume was mixed, slightly lower on the Nasd and higher on the New York. Leading stocks reversed along with the market. The leaders index was lower early but came back to close higher by .76%. The big white candle is a positive sign and the index is back above it’s short term moving averages. The kind of reversal we saw today is usually associated with at least a short term bottom in the market and it would not be surprising to see a short rally here. Even so I would not get to excited as few stocks are showing worthwhile gains and profits are difficult to come by. Jerry