Overall it would have to be considered another disappointing session for the market. It looked pretty much like a repeat of Friday’s action with a solid gain early that lasted about a half hour before the selling came in. The major averages worked their way lower for most of the remainder of the session before some late strength allowed the major averages to finish off their lows. They finished mixed with the SPX closing in positive territory and in the upper half of it’s intraday trading range and the COMPQ finished with a small loss of .12%and in the lower half of it’s intraday range. Volume was mixed, higher on the Nasd and a bit lower on the New York. Both were well above average, showing that large institutional players were active in today’s trading. Leading stocks were lower as well with the leaders index falling .71% on lower but still above average volume. The index closed in the upper half of it’s trading range but remains well below it’s important 50dma. The relative strength line of the index continues to weaken and is starting to show a pattern of lower highs and lower lows. We are waiting to see if there is going to be any kind of bounce. After a sell off the quality of the bounce is critical. So far the market has not been able to really bounce at all. This usually means prices are going lower. Jerry
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