Jerry Samet
04-22-2020, 06:28 PM
The market rallied back today and recovered much of yesterday’s losses. The major averages gapped up at the open and rallied for much of the day. A little late selling saw the major averages close off their highs, but they all closed high in their intraday trading ranges. The Nasd averages were a little stronger with the COMPQ and the NDX gaining 2.81% and 3.11% respectively. The SPX was higher by 2.29%. Volume was a bit disappointing today. It was slightly lower on the New York and a lot lower on the Nasd. Volume declined only .81% on the New York but 20.90% on the Nasd. You would have preferred to see higher volume on a rebound. Leading stocks were higher as well with the leaders index gaining 3.05% on the session. The index closed high in its trading range on lower and below average volume. The index continues to remain above its short term 9dma. The market rallied back today after yesterday’s decline. The gains were not quite as large as yesterday’s losses but they were pretty close. The oil market calmed down a bit today so maybe that source of volatility will decrease going forward. There are some quality growth stocks that are acting well and producing some moderate gains. The Nasd averages are acting better right now with the NDX bouncing off its 50dma support level and the COMPQ today regained its 50dma and 200dma that it lost yesterday. The SPX is still struggling to regain its 50dma. The leaders index is acting well as it is rising above its short term 9dma. The preponderance of the evidence right now still points to higher prices ahead in at least the short term, but I don’t have a high level of conviction in that statement. Jerry