The market put in another overall disappointing session today. The major averages opened lower and traded around in negative territory all day. The Nasd averages finished low in their intraday trading ranges while the New York averages closed in the upper half of their trading ranges. The COMPQ and the NDX fell .41% and .37% respectively. The SPX declined .11%. Volume was lower across the board, so there was no new distribution. Leading stocks declined as well with the leaders index falling .53% on the day. The index closed in about the middle of its trading range on lower ad below average volume. The index also closed right on its important 17dma support level. The market wasn’t able to get any positive action accomplished today. After Friday’s reversal you would want to see a solid bounce back. We didn’t get it today. Leading stocks are showing some weakness as the leaders index is sitting right one its 17dma support level. A break of this support would be very negative. Right now the rally is looking a bit shaky. There are more and more items that are flashing warning signs. Reducing exposure somewhat might be a good idea. The CPI report comes out before the open tomorrow and will set the tone for trading. Jerry
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