The market put in an overall negative session today. The major averages opened higher but quickly toped out. Selling continued through out the day and all the major averages finished low in their intraday trading ranges. The COMPQ and the NDX lost .85% and 1.04% respectively. The SPX declined .32%. Volume was lower across the board, so there was no distribution today. Leading stocks were lower as well with the leaders index falling 1.09% on the day. The index closed low in its trading range on higher but below average volume. The market sold off today, with the NASD averages taking the worst of it. There was early strength and a weak close, not bullish action. The leaders index closed down but is holding above its short term 9dma. The NASD averages are the real concern right now. They traded below their 50dma’s today before closing fractionally above this important support. If the NASD averages break this moving average, particularly on higher volume, it will put the rally in danger. The NASD averages recently recovered their 50dma’s and losing them now would be very negative. NVDA’s earnings report on Wednesday could determine which way it goes. Jerry
Reply With Quote