Leaders Index 7-30-19

The market opened lower after some cold water was thrown on China trade talks. Early losses were meaningful, but the major averages saw their lows of the day in the first ten minutes of trading. There was mostly an upward bias after that, but the major averages still closed lower. The COMPQ and the NDX were off by .24% and .46% respectively. The SPX declined .26%. All the major averages closed high in their intraday trading ranges, a sign of support. Volume was higher across the board. It was higher by 18.09% on the New York and 2.26% on the Nasd. The fact that the major averages closed high in their trading ranges mitigates the loss, but it was still enough to produce a new distribution day on all the major averages. Leading stocks were mixed with the leaders index gaining .44% on the session. The index finished just above the 17dma and a bit below the 9dma. It closed in the lower half of its trading range and volume was lower and below average. There was a sizable negative open today, but the major averages bottomed quickly and the majority of the losses were recovered by the close. For the second day in a row he market opened weak and finished high in its trading range. This shows support. The leaders index continues its consolidation and the charts of the major averages still look ok. There has been some short term weakness in the market in the last few days, but it has been mild. The high closes seem to indicate that there is a bid under the market. The Fed will make its announcement tomorrow and the market seems to have settled on a quarter point cut. Anything else will cause a reaction, up or down. Jerry