Jerry Samet
08-22-2023, 06:30 PM
The market couldn’t build on yesterday’s rally. The major averages opened mostly higher, but it was downhill from there. All the major averages finished near the bottom of their intraday trading ranges. The Nasd averages performed the best. The COMPQ was higher by .06% while the NDX was off by .19%. The SPX was lower by .20%. Volume was lower across the board, although it was very close on the Nasd. Leading stocks were slightly lower with the leaders index off by .13%. The index closed in about the middle of its trading range on lower but above average volume. The market looked early like it would build on yesterday’s advance, but selling came in and the market closed weak. This is generally negative action and adds weight to the correction side. As I said yesterday we are right on the cusp of the 8% down from the highs on the Nasd averages and are close on the SPX. This is a critical level as a break below it would likely lead to an intermediate level correction. NVDA reports after the close tomorrow so it is likely tomorrow’s action may be quiet in anticipation. The bottom line is that we remain in a correction and should see lower prices in the near term. Jerry