Leaders Index 6-17

The market had a mixed day on Friday with the New York averages rising and the Nasd averages declining. Volume increased across the board, but that was related to expiration. The leaders were flat as the index was completely unchanged on lower but still above average volume. The leaders index and the major averages are all riding their 9 and 10dma's down and the first signs of life would be to break above these moving averages. The market has dropped quite a bit in the last couple of weeks and is oversold. A counter trend rally would not be surprising here. In fact the A-E divided by the total is showing some signs of turning up. If we get a rally here it will be important to see the quality of the move, but I would be surprised if it were anything more than an oversold bounce. Jerry