*****Technical Analysis(intraday)*****
Nasdaq opened higher, gapped slightly on hourly charts, and rallied to meet some resistance at 4106, and has a very positive TRIN of .43, which bodes well. The a/d is 9/8 and up/down volume is 3/1 on 700K shares, the latter two figures being quite positive.
A technical bounce was expected this morning as the hourly stochastic was 0% at yesterday's close, and the daily RSI had reset quite significantly in just 2 days of weakness.
Now the question is whether the Nasdaq can rally in earnest after resetting the indicators/overbought condition from last week. If the TRIN stays below .60 during the countertrend of the next 2 hours, then there is a good chance of firmness towards the close, and if it is near .40, then it will rally strongly. A/D needs to be watched as well since it is barely positive now, and will also provide a clue to the intraday direction of the market.
Dr.Bob's commentaries should not be construed as recommendations to buy or sell stocks. Always do your own research before investing. |
