Jerry Samet
06-23-2011, 11:19 PM
The market sold off pretty hard at the opening and continued down most of the day. A news story about Greece making a deal with the EU and IMF caused the market to turn and regain most of the losses. The Nasd closed higher. All the major averages closed at or near the highs of the day in a reversal on strong volume. It looked as though the bounce the market is trying to make might end badly today but the news saved it, although bad news tomorrow could reverse the whole thing. The leaders had a strong day, rising 2.07% on higher and above average volume. The major averages and the leaders are making a run for the 50dma and the leaders index has a downtrend line at about the same level as the 50dma. This will provide significant resistance. We will have to see what happens when this important moving average is reached, but I would be surprised if any of the indices can get much above it. Jerry