The market started off strong today as all the major averages showed solid gains before they had a reversal and ended down between a quarter and a half of one percent. The major averages sold off into the close and finished at their lows of the session. Volume dropped across the board so there was no distribution. Leading stocks sold off more than the overall market as the leaders index dropped 1.27% on lower and about average volume. The RS line of the index is looking pretty weak. Both the COMPQ and the SPX tried to get above their 50dma’s but were unable to do so. Today had the look of a real reversal day and if the major averages can’t get above their 50dma’s the rally attempt may not get very far. Jerry
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