The market opened lower today and after bouncing around finished with losses. The Nasd averages were the weakest and they closed in about the middle of their intraday trading ranges. The New York averages closed in the upper half of their trading ranges. The COMPQ and the NDX fell 1.03% and 1.07% respectively. The SPX fell .36%. Volume was mixed. It fell 5.96% on the New York and rose 7.88% on the Nasd. This was enough to produce a new distribution day on the Nasd averages. Leading stocks sold off again with the leaders index falling 2.50% on the day. The index closed in the upper half of its trading range on about flat volume. It also broke below its important 50dma. The weakness continued today and things took a turn for the worse. The major averages closed off their lows but still with solid losses. The real issue today was both the Nasd averages breaking back below their 50dma’s. It was a small break but a real concern anyway. The leaders index also broke this important support level in a sign of continued weakness. The employment report will come out before the open tomorrow and that will set the tone for tomorrow, at least early in the day. Jerry
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