Leaders Index 9-9

The market sold off hard yesterday as the game of European yo-yo continued with the major averages selling off about 2.5% on higher volume across the board. This gave all the major averages another distribution day. The catalyst seems to have been the highest ranking German official resigning from the ECB in protest over recent policies. The Germans may have a breaking point after which they will look out for themselves rather than others in the Eurozone. The leaders performed about in line with the overall market with the leaders index declining 2.63% on higher and above average volume. We seem to be in a loose trading range after the recent hard sell off, but most of what I see points to a break to the downside from this consolidation. Jerry