The market got hit today from a variety of directions. The major averages opened lower and mostly declined the rest of the session. All the major averages finished near their intraday trading lows. The losses were pretty evenly divided with the COMPQ and the NDX falling 1.58% and 1.43% on the day. The SPX declined 1.54%. Volume was higher across the board, as you would expect after a half session on Friday, but it still counted as distribution on all the major averages. Leading stocks followed the market down with the leaders index falling 2.75% on the day. The index closed low in its trading range on higher but below average volume. The index also broke below its short term moving averages. The market sold off today because of several different factors. The protests in China along with hawkish Fed speakers got things off to a weak start and the market couldn’t rally during the day. There are a slew a important economic reports out this week culminating with the employment report on Friday. The market is clearly struggling right now and worthwhile gains are hard to come by. On the other hand the weekly Coppock turned up today for the week. We will have to wait until Friday to get a final number, but if there is no sell off during the week it will probably signal. That might give the market a kick. Right now there are some opportunities out there, but it is a weak rally at best so don’t get to aggressive. Jerry
Reply With Quote