Jerry Samet
08-01-2013, 10:54 PM
The market had a strong rally today as all the major averages set new all time or 52 week highs on the session. They gapped up at the opening and stayed strong all day, finishing near the highs of the day. Volume was slightly lower across the board. This is not what you really want to see as higher volume on a rally shows real conviction on the part of institutional investors. Leading stocks had a good day also as the leaders index rose .97% on much higher volume, actually the highest volume for this index since May. Unlike the major averages the action in the leaders index was not enough to be a breakout from it’s recent consolidation, but the volume was enough to constitute an accumulation day. The market and leading stocks are acting well and the rally is on solid ground. A little more volume on the up days would be good, but the long side is clearly the place to be. Jerry