Leaders Index 12-2-20

The market put in a mixed session today, but overall it was a positive session. The major averages opened lower but quickly bottomed out and worked their way higher for the rest of the day. All the major averages finished at or very near their intraday trading highs, a good sign. The close was mixed with most of the major averages showing small gains. The SPX and the NDX were slightly higher by .18% and .01%. The COMPQ declined .06%. Volume was lower across the board. It fell 20.88% on the Nasd and 6.34% on the New York. This is encouraging as you want to see lower volume as the market consolidates gains. Leading stocks were also mixed but rebounded a bit from recent declines. The leaders index gained 1.39% on the day. The index suffered early losses but recovered them and closed with gains. The index finished above its important 17dma after trading much of the day below it. Volume was higher and well above average. The market acted pretty well overall today. There were mild losses early but buying came in and turned things around. All the early losses were recovered in something of a reversal and the major averages closed little changed. The lower volume showed that there was not that much institutional activity today, and that is good when prices are consolidating. I have said that the market is stretched, but you never know how far it can ultimately go. There clearly seems to be a bit under the market now and that can provide a lot of support. There is a lot of liquidity out there and it is supporting the market so we will likely see higher prices in at least the short term. Jerry