Leaders Index 2-28

[Jerry Samet]

The market had a nice gain going early, but couldn’t hold it. The major averages all reversed their gains and closed at the lows of the session. Volume built up late as the market sold off and finished higher across the board. The major averages avoided distribution because their declines were to small to qualify. Leading stocks did better than the overall market with the leaders index rising .83% on higher and above average volume. The index tagged it’s 50dma but could not trade above it and closed well below this critical moving average. The index did close slightly above it’s declining 9dma. Yesterday I mentioned four recent breakouts of quality stocks and said they should be watched. Today CELG broke out so I added it to the list and made an index out of them. There are only five stocks in the index so it is not a real leaders index but it is probably worth watching as they are very recent breakouts. The day’s action would have to be considered disappointing and the market looks like it wants to go lower. Jerry