Hennessee Group has announced that the Hennessee Hedge Fund Index advanced +1.50% in April (+4.83% YTD), while the S&P 500 increased +1.48% (+6.42% YTD), the Dow Jones Industrial Average advanced +1.40% (+5.57% YTD), and the NASDAQ Composite Index advanced +2.64% (+8.46% YTD). Bonds advanced, as the Barclays Aggregate Bond Index increased +1.04% (+2.84% YTD) and the Merrill Lynch High Yield Master II Index increased +2.24% (+7.17% YTD).

“While fundamentals, such as corporate earnings and economic data, have been surprisingly good in recent weeks, the market technicals after the ‘May 6th rout’, including support levels and moving day averages, are creating significant concern among hedge fund managers,” commented Charles Gradante, Co-Founder of Hennessee Group. “The question is if this is a good entry point for bulls, or if this is just the beginning of a whole lot of pain. Most feel it is too early to tell and are operating with caution.”