DAY 3 (or 4): -
Futures looking ugly, asia tanked again, europe down big, sounds like a good time for a turn around in tech sector. Unless we are in the beginning of something a lot bigger than we've had in the past, the NAS has typically been down big 2 days in a row and then has stablized before reversing. Monday's actions were insane, and with a new millenium and after such a great year as 1999, should be thrown out the window. Tuesday we just had a stomp -out, selling frenzy feeding upon itself, which continued Wednesday until late in the afternoon, when we had a huge reversal. Nas went from -120 to + 20 before settling underwater. The DOW had a big move, somewhat of a bounce off of Tuesday's decline, but the DOW was fueled by financials and big old stodgy stocks that noone used to want, and are WAY OVERDUE.
Today, the NAS needs to stage a rebound. I guage the NAS by QCOM, CMGI, and YHOO right now, all except YHOO had great recoveries yesterday. MSFT was strong too. In addition, the CES has started. That has traditionally bode well for tech stocks, usually after the first day.
AT this point, I am viewing this move as a good swift kick in the rear correction in an ongoing bull market. Too late to sell, and would be cautious nibbling, but there is a light at the end of the tunner. I think. jmho. larry |
