Leaders Index 12-21-21

The market had a pretty solid rebound today with good price gains. The major averages opened higher and mostly worked their way up the rest of the day. All the major averages finished near their intraday trading highs. The Nasd averages led the way with the COMPQ and the NDX gaining 2.40% and 2.29% respectively. The SPX rallied 1.78%. Volume was an issue as it really didn’t confirm the price strength. The volume on the Nasd was higher by 1.60% according to Esignal. This is close enough for other data feeds to have different results. Volume fell by 22.92% on the New York, a significant decline. Leading stocks had a strong session as well with the leaders index rallying 1.93% on the day. The index regained its short term 9dma and closed high in its trading range. Volume was a bit lower but still above average. The relative strength line of the leaders index made a new high. The market bounced today after several weak sessions. The price gains were good and the strong close is encouraging. The only real issue today was the volume. You would like to see strong volume on the bounce after a decline. We really didn’t get that today. The Nasd volume was really about unchanged but the New York volume dropped considerably. This is not a sign of strength. We had a solid bounce today, lets see if it has any legs. Jerry