The market had it’s first down day in over a week as the major averages opened lower and were down the whole day. The losses were fairly mild as the COMPQ fell the most with a .32% decline and the SPX held up best, declining .24%. Volume was higher across the board, producing distribution days on all the major averages. Leading stocks were mixed to lower with some recent breakouts in danger of failing. The leaders index fell .85% on heavier and above average volume. Most of the decline was caused by EVER and SLCA, both of which had nasty declines. The index tagged it’s 9dma but closed well above that important moving average. The market has had a good rally in the last couple of weeks and a consolidation or pull back would not be unexpected. So far the distribution count is low and both the major averages and the leaders index are holding up well. We are very late in the current cyclical bull market so every sell off must be watched closely, but things look pretty orderly so far. Jerry
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