The market was lower today, despite some late strength. The major averages opened lower and worked their way to some significant losses. There was late buying and the major averages recovered a good part of the early losses, but overall it was still a negative session. The Nasd averages finished in about the middle of their intraday trading ranges while the New York averages closed in the upper half of their trading ranges. The Nasd averages were the weakest with the COMPQ and the NDX falling 1.21% and 1.12% respectively. The SPX was off by a lower .47%. Volume was mixed. It was lower by 2.41% on the Nasd but up by a strong 28.30% on the New York. This combined with the price declines produced a distribution day on the New York averages. Leading stocks sold off as well with the leaders index falling 2.68% on the day. The index closed in the lower half of its trading range but held above its short term moving averages. Volume was a little higher so there was distribution in leading stocks as well. The relative strength line of the leaders index is also approaching its 50dma. The market put in an overall negative session today. There were larger losses early and although some of it was recovered it made the charts look a little messy. The earnings reports were pretty good today but the futures are a bit lower as of this writing. Today’s action reinforced the recent trendless recent trading in the market. Sustained moves in either direction have been lacking. The recent underperformance in leading stocks is also worrisome as few recent breakouts are producing really worthwhile gains. There will be more earnings reports tomorrow as well as a Fed announcement. It shouldn’t be boring. Jerry
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