Leaders Index 8-13

The market sold off at the open, then spent the rest of the day rallying back. The major averages regained all their early losses and closed near their intraday highs. It looked like we would have another distribution day early, but the subsequent reversal changed that. The COMPQ led the way with a gain of .39% while the NYA brought up the rear with a gain of .22%. The small and mid cap stocks were down slightly on the session. Leading stocks were mixed, with stocks like LITB and QCOR having nice gains while FB and OSTK sold off. The leaders index declined by .92% on lower and well below average volume. The decline in volume prevented distribution on this index. The leaders index is working on another three weeks tight formation and if it closes with 1.5% of last weeks close the pattern will be complete. The market remains in the August doldrums, but the fact that it is refusing to sell off is a positive sign. Jerry