The market had another mixed session yesterday. The major averages diverged with the New York averages outperforming the Nasd averages. There was not that much change on the day with the COMPQ lower by .22% while the SPX was higher by .03%. All the major averages closed in the upper half of their intraday trading ranges due to a little late buying. Volume was higher across the board and well above average. This was due to yesterday being an expiration day. You have to take that into account, but it still qualified as a new distribution day on the Nasd averages. Leading stocks were mixed as well with the leaders index finishing little changed with a loss of .04%. The index closed in about the middle of its trading range. It again spent the entire trading day below its important 17dma and has now closed below this moving average for the third day in a row. Stocks that have been the leaders of this rally are faltering. At the beginning of the rally after the election the financials and infrastructure stocks led the way. It soon shifted to technology stocks, particularly big cap tech stocks, that have led the way until the last week or so. We may be seeing a rotation into new leadership or a topping out of the market. The quick bounce backs we have seen from sell offs in the last two or three years doesn’t seem to be happening now. It still could, but right now protecting gains and capital is the primary objective. There will be no update on Monday. Jerry
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