The market sold off pretty hard today, but it recovered some of the losses. The major averages opened mixed, but then worked their way to meaningful losses. Late buying came in and the major averages finished in the upper half of their intraday trading ranges, but still with losses. The COMPQ and the NDX lost .26% and .29% respectively. The SPX declined .56%. Volume was higher on the New York and really close on the NASD, but it looks like it was a touch higher. Leading stocks were hit hard again. The leaders index fell 4.04% and closed in the lower half of its trading range. Volume was higher but below average. The picture got worse today as the market continued to act poorly. There was some late buying that mitigated the losses, but it was still a negative session. The higher volume continued the recent pattern of declines on higher volume and rallies on lower volume. Market internals were very negative. The most worrisome thing right now is the bad break in leading stocks. They were one of the positives as the market went sideways, but that appears to be over. They have taken serious hits and are now a negative. The charts of leading baskets and the leaders index look bad. The employment report comes out tomorrow. This is a time to preserve capital. There will be no update tomorrow. Jerry
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