Zeev, for me, three weeks is an eternity... If I can wring a few points out of remaining short positions in the first couple HOURS on Monday, I'll be happy. If broad panic-selling induces a re-test of the 1-03 lows, and sets up a new round of successful short sales, I'll be happy for my trading account, though of course I'll feel sympathy for ltb&h'ers who are paying too close attention (I've been there).
As for how the charts look as compared to 1-02, it depends on what you're looking at... JNPR, for instance, just blasted through its December low after little more than a brief hesitation. On the 2nd, it looked primed for a test, but not necessarily anything worse. BRCM could be making or be about to make a classic second re-test, which, if the s/r lore holds, would be more likely to fail than not. If, either before or after any technical bounce or short-covering rally, the Nasdaq can't hold its January low, and thus gives up all and more of the post-easing rally, a new wave of capitulation selling becomes easy to envision.
I'm not making predictions, I'm just looking at potential signs and opportunities - pattern failures are also patterns. |
