Leaders Index 11-17

The market was down all day and was especially weak in the afternoon. After coming off the lows it still finished near the lows of the day.The major averages were off between 1.5% and 2% on the day and volume was much higher and above average on the Nasd. The major market averages are pulling away from their 200dma's and it appears that this important level will contain this bear market rally as it has many others before. There was distribution across the board and this made six on the Nasd and IBD went to market in correction. The point count in the market school model went to +1, and almost went to all cash. Any more weakness and it will do so. Leading stocks took some hits as the leaders index dropped 2.03%, slightly more than the overall market, on much higher and above average volume. In this news driven market a headline could always cause stocks to rise, but it appears that this rally has run its course. Jerry