The market really got pasted today. There was a bit of a bifurcated market again today with the Nasd averages showing real weakness. The major averages opened mostly lower and spent the rest of the session working their way lower. There was late selling and all the major averages finished the session at their intraday trading lows. The Nasd averages were hit hard as growth and tech related stocks sold off hard. The COMPQ and the NDX were lower by 2.55% and 2.62% respectively. The SPX declined 1.04%. Volume was mixed, according to Esignal. It was higher by 8.84% on the Nasd and lower by 8.84% on the New York. This produced distribution on the Nasd averages. Leading stocks were hit hard as well with the leaders index falling 4.61% on the day. The index closed near the bottom of its trading range but held its 50dma. Volume was higher and above average. This shows that there was heavy selling in leading stocks. The market was hit hard today. The Nasd averages were weak all day but the New York averages showed some strength before the late selling got even them. The COMPQ broke below its 50dma today on higher volume, which is always very negative. The higher volume showed that large institutional players were selling stocks today. The distribution count is pretty high right now and important support was broken. About the only strength today was in the stocks with real assets and some connection to inflation. The picture looks pretty bleak right now and it looks like the market wants to go lower. There is a ton of liquidity out there so that could provide some support, but long is a pretty dangerous place to be right now. Jerry
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