The market took a break today after its recent advance. The major averages opened lower and pretty much went sideways the rest of the day. The Nasd averages finished in about the middle of their trading ranges while the New York averages closed low in their trading ranges. The COMPQ and the NDX fell 1.03% and 1.22% respectively. The SPX declined .75%. Volume was lower across the board, so there was not a new distribution day on any of the major averages. Leading stocks were mostly lower with the leaders index falling .70% on the day. The index closed low in its trading range on much higher and above average volume. The market pretty much treaded water today ahead of the Fed announcement on Wednesday. The market has rallied nicely in the last few days and a rest is in order. There were a few more interesting breakouts today and some recent ones have produced gains, but it aren’t really significant gains so far. The market likely won’t do much until the Fed announcement in two days. A 75 basis point increase is pretty much baked in, but you never know what will be said at the press conference. The reaction to the news will tell us a lot about the durability of this rally. Jerry
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