The market had a pretty wild ride today, mostly thanks to the Fed. After opening lower the major averages worked their way down until the Fed announcement said that interest rate hikes were off the table for this year. The major averages then quickly rallied to their highs before selling off into the close. The Nasd averages were the strongest due to higher prices in large cap tech stocks. The NDX was higher by .43% while the COMPQ gained .06%. The SPX declined .29%. The Nasd averages closed in the upper half of their intraday trading ranges while the New York averages finished in the lower half of their trading ranges. Volume was higher across the board. This was enough to produce a fresh distribution day on the New York averages while the Nasd averages, which suffered a stalling day yesterday, avoided one. Leading stocks were moderately lower despite the strength in big cap techs. The leaders index declined .34% on the day and closed just above the midpoint of its trading range. Volume was higher and above average. This produced distribution in the leaders index. The market has been acting a little sloppy in the last couple of days. There has been distribution for two days in a row and the overall count is getting pretty high. The charts of both the major averages and the leaders index still look ok and there is important support just below current price levels. The major averages must stay above their 200dma’s in any pullback while the leaders index must hold its 17dma. As long as they do the overall trend should remain higher. Jerry
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