Leaders Index 11-3-20

The market put in a solid rally today. The major averages opened higher and moved up for most of the day. All the major averages finished high in their intraday trading ranges, a good sign. The gains were pretty evenly divided with the COMPQ and the NDX higher by 1.85% and 1.76% respectively. The SPX rallied 1.78%. Volume was slightly higher across the board. It gained .90% on the Nasd and .07% on the New York. Leading stocks rallied as well with the leaders index gaining 1.93% on the day. The index closed high in its trading range and volume was about unchanged, much like the major averages. The index is now a little above its 50dma. The market put in a good rally day today. The gains were good and volume was higher, if only by a little. The two most important of the major averages, the COMPQ and the SPX, remain below their 50dma’s and we would have to see them overcome this resistance. There are however several secondary averages, the NYA, RUT, and MID among them that have broken above this important moving average. This is encouraging. Today’s action is good but it isn’t enough to change the overall picture yet. There is likely to be a lot of volatility in the next few days as election results come in and news stories go back and forth. We are in a position where we could see a follow through later this week or next due to volatility. We should look at how well it is confirmed if it happens. The %E’s right now are in a position to confirm. A Eureka can come on any trading day. The weekly Coppock is not in a position to signal now, but could be in two or three weeks. We will have to see how things go over night and the futures are a little higher at the time of this writing. It will be interesting. Jerry