Jerry Samet
06-11-2019, 07:11 PM
The market staged a pretty ugly reversal today. The major averages opened higher with very solid gains. They didn’t last. The major averages put in their highs in the first five minutes of trading and spent the rest of the session working their way lower. All the major averages finished about flat on the session with the COMPQ lower by .01% and the NDX higher by .16%. The SPX was off by .03%. Volume was slightly higher across the board. The declines were too small to qualify so there was no official distribution. Leading stocks were lower with the leaders index declining .77%, but closing in the upper half of its trading range. Volume was lower but slightly above average. The market reversed early gains today as sellers came in when prices rallied. This is the second session in a row in which this has happened. Clearly there are people out there willing to part with stock at current prices. There was no distribution as the declines in the major averages were too small to qualify, but it would have to be considered a negative session. The major averages closed at their lows of the day in what certainly has the feel of stalling. This is the second day in a row that this has happened. Quality growth stocks held up a little better than the overall market as the leaders index closed in the upper half of its trading range while the major averages closed in the bottom of their trading ranges. The follow through of two days ago is still in effect but the action since then is not encouraging. Positions should be taken very carefully. Jerry