Jerry Samet
06-28-2012, 11:49 PM
The market started off weak and was down pretty hard almost all day. A rally in the last half hour of trading erased most of those losses. It appears that there was a rumor that maybe there was progress toward another "solution" in Europe. Volume was higher across the board, producing distribution days on the COMPQ and SPX. The NYA didn't have one because it closed basically flat. The major averages closed near their highs of the day which took some of the sting out of the distribution. Leading stocks got hit harder than the overall market with several stocks that have been leaders since the cyclical bull began, such as CMG and MNST have broken badly in the last couple of days. The leaders index declined 1.95% on extremely high volume that was heavily influenced by the volume in MNST's sell off. This remains a trend less market where only short term traders can do well. Intermediate term trend following disciplines like CANSLIM have trouble in this type of environment. Jerry