I'm still thinking the Fed is going to let loose with 1/2 basis point on Tuesday. I think many as misinterpreting the CPI/PPI figures. To me, I saw no slow down. declining oil prices masked a few things. Oil has already rebounded. Also, the bond market did not appear to be faked out or retreat. The big boys playing with the June futures would indicate .50 is in the cards with 75+% certainty.
Monday probably flat to down in the general markets then up on Tuesday after the fed announces.
BRCM, at current levels and the low back in April seems to find support at levels from Jan of this year. Double bottom is kind of +/- at this point depending on how one looks at the chart. I would not feel comfortable calling it a double bottom unless we fall back to it from a higher level.
However, it is reassuring that BRCM did not retest the one-teens over the past two weeks. Perhaps we will not go there again, or that could just be wishful thinking.
A lot of good news is coiled up in the stock now and if we get a relief rally going into options expiration and beyond that carries us up to the 3,800-4,100 level on the NAZ then BRCM could crack $200 this go round. However, I continue to protect, there is still no guarantee that NAZ may not go to 3,200 then 2,700-2,900 become distinct possibilities.
Plan for the best, be prepared for the worse.
Regards, |
