Jerry Samet
04-09-2019, 07:29 PM
The market opened lower and after a mid-session attempt to rally failed it sold off into the close. All the major averages finished the day near the bottom of their intraday trading ranges, in contrast to the strong closes of recent days. The Nasd averages held up a little better with the COMPQ and the NDX declining .56% and .41% respectively. The SPX fell .61%. Volume was very close to yesterday’s levels. Esignal had it a touch lower on the Nasd and a bit higher on the New York. The changes were less than a third of one percent each so other data feeds could have different results. Leading stocks declined as well, but less than the overall market. The leaders index fell .19% and closed in about the middle of its trading range. It is sitting right on the 9dma and remains above its other moving averages. Volume was higher but still well below average. The overall action was weak today, but not enough to change the trend of the rally. The higher volume should be enough for a new distribution day. The fact that quality growth stocks held up better than the major averages is good and the relative strength line of the leaders index bounced off its 50dma. The major averages are very close to their old all-time highs set late last year and it would not be unexpected to see them consolidate at this level before making a run for new highs. The odds at this point favor a move into new high ground, but we will have to wait and see what the market is going to do. Jerry