Jerry Samet
06-04-2013, 11:28 PM
The market was higher early in the session but couldn’t hold the gains. The major averages lost their early gains and sold off into significant losses before a late rally erased a portion of those losses. They still finished with losses ranging between .40% on the NYA and .58% on the COMPQ. Volume was lower across the board so there was no distribution. Leading stocks got hit worse than the overall market as the leaders index declined .98% on lower and about average volume. The index continues to trade below it’s now declining 17dma and the 9dma is controlling the chart as the index has after several attempts been unable to break above it. We now have a lower high in place and if the index breaks below the low of 5/23 it will complete a lower high and lower low pattern. Both the major averages and quality stocks are acting poorly, with leading stocks declining the most. The market situation continues to worsen and it appears that lower prices are ahead. Jerry