Jerry Samet
09-09-2024, 06:23 PM
The market bounced back today after last week’s weakness. The major averages opened higher and then bounced around most of the day until some late strength saw all the major averages to close high in their intraday trading ranges. The gains were pretty evenly divided with the COMPQ and the NDX higher by 1.16% and 1.30% respectively. The SPX rallied 1.16%. Volume was lower across the board. Leading stocks rallied as well with the leaders index gaining 2.92% on the day. The index closed low in its trading range on lower and slightly above average volume. The relative strength line of the leaders index also made a new high. The market staged a rally today after selling off hard last week. The price gains were pretty good, but the volume was lower, showing a lack of buying interest by large institutional players. It was also an inside day. Overall the bounce today was not that convincing and the market has a long way to go to right itself. The 50dma’s of the major averages will now be the primary resistance facing these indexes. The month of September is usually a rough month for the market. On the other hand a lot of important bottoms have occurred in the later October to the early November time frame. The weekly Coppock is declining and will likely be in a position to signal in this time frame. For now the market is correcting and caution is the best way to go. Jerry