Leaders Index 6-21-18

The market sold off today. After opening lower the major averages worked their way lower for the rest of the session. All the major averages finished at their intraday trading lows as selling persisted throughout the day. The COMPQ declined .86% while the SPX fell .63%. Volume was very close on both exchanges but looks to be higher on both. This would produce fresh distribution days on all the major averages. Leading stocks were lower as well with the leaders index falling 1.09% and closing just below the midpoint of its trading range. The index closed right on its short term 9dma support level. Volume was lower and well below average. This shows that there was not a lot of selling pressure in quality growth stocks. The market sold off pretty much across the board today. All the major averages were lower the entire session and closed with some real losses. The Nasd averages still look the best as they are currently holding their short term 10day moving averages. The New York averages continue to look the worst with the INDU and the NYA breaking below their 50dma’s. Leading stocks are still acting well as can be seen in the chart of the leaders index. The fact that it is holding up is encouraging. There is rarely a meaningful correction when leading growth stocks are acting well. I said a couple of days ago that a couple of the shorter term indicators I look at are signaling some short term weakness and we may be seeing that now. The picture overall still looks positive. Jerry