Jerry Samet
09-20-2023, 06:20 PM
The market took a hit today after the Fed announcement and news conference. The major averages opened mixed and didn’t go to far in either direction before the announcement. The major averages sold off after and finished pretty much at the lows of the day. The Nasd averages were the hardest hit with the COMPQ and the NDX losing 1.53% and 1.46% respectively. The SPX declined .94%. Volume was mixed, higher on the Nasd and lower on the New York. Leading stocks were lower as well with the leaders index losing 1.45% on the day. The index closed low in its trading range on lower and below average volume. The market pretty much treaded water until the Fed news. The report was more hawkish than expected and the market sold off into the close. The higher volume on the Nasd averages produced distribution on those averages. The day’s action was negative and the major averages closed below the lows of the follow through. This officially ends the rally attempt and confirms a failed follow through. This rally failed quickly as the major averages only rallied for three days before they topped out. We now have to wait for a good setup. The weekly Coppock is falling fast and will go negative in two or three more weeks. This could aet up a better confirmed rally attempt. September and into October are usually weak times for the market. However, many important market bottoms have occurred in October, and a new rally attempt in that time frame that was well confirmed could produce a tradable rally. We will have to see how that plays out. Jerry