Leaders Index 1-7-22

The market put in another disappointing session yesterday. After a weak rally attempt at the open the major averages rolled over and were mostly lower the remainder of the day. All the major averages finished near the bottom of their intraday trading ranges as selling continued into the close. The Nasd averages were again the weakest with the COMPQ and the NDX falling .96% and 1.10% respectively. The SPX declined .41%. Volume was lighter across the board. It fell 12.56% on the Nasd and 4.53% on the New York. The lighter volume means that there was no distribution. Leading stocks got hit again as well with the leaders index falling 2.19% on the day. The index closed low in its trading range on lower and below average volume. The market weakness continued yesterday. After a weak attempt to rally at the open yesterday the major averages turned lower and sold off the rest of the day. The rotation out of growth stocks into value continued as can be seen in the charts of the SPYV and the SPYG. The overall picture continued to darken as the sell off continues and growth stocks take the brunt of it. I see no reason to be playing around with breakouts or growth in general at this point. It is a good way to lose money. Jerry