Leaders Index 7-8-20

The market put in another solid session today. The major averages opened higher and after a sell off that erased most of the early gains they found a bottom and rallied for the rest of the session. All the major averages finished at or very near their intraday trading highs, a sign of support. The Nasd averages led the way again with the COMPQ and the NDX higher by 1.44% and 1.36% respectively. The SPX gained .78%. Volume was mixed. It fell 6.75% on the Nasd and rose by 9.41% on the New York. Leading stocks had another very strong session with the leaders index rallying 2.77% on the day. The index closed high in its trading range on higher and above average volume. This was enough for new highs on both a closing and an intraday basis. The relative strength line also made a new high. The action of the market continues to be encouraging. The major averages continue to rally with the Nasd averages making new closing highs, but not intraday highs. It would have been nice to see higher volume on the Nasd as well as the New York averages, but you can’t see higher volume every rally day. The charts of the major averages and the leaders index look good. The Nasd averages are getting a little extended in the short term, but overall the picture is positive. Jerry