It was another ugly session yesterday. The major averages opened a bit higher, but the gains didn’t last. Selling came in and the major averages sold off into the close. All the major averages finished near their lows of the day. The COMPQ and the NDX fell 1.51% and 1.73% respectively. The SPX lost 1.51%. Volume was mixed. Volume rose modestly across the board. Leading stocks did better the overall market with the leaders index gaining .70% on the day. The index closed near its lows on higher and about average volume. This caused the relative strength line of the leaders index to make a new high. The seemingly relentless selling continued yesterday. Early gains were lost as the major averages rolled over and declined to new lows for the bear market on most of the major averages. The Nasd averages are still holding slightly above their June lows. There isn’t much you can say about this market except that is an ugly bear and the end is still nowhere in sight. The slightly higher volume yesterday shows that large institutional players are still selling stocks even after this large decline. The best move is to stay out of the way of this thing until there are real signs of a bottom. I don’t think that will happen until sometime in the first half of next year. Jerry
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