Mike, the SOXX basically got taken out of this rally by hitting overhead resistance, and now CSCO has taken the net equipment sector out.
That leaves only several sectors left to lift the entire index, and CA helped the software index a little tonight, but who knows how much when people factor in the slowing economy.
JDSU, CSCO, SCMR, EXTR, JNPR, CORV, CIEN have all been stopped in their tracks now by this warning, at least for a day or two, IMO.
I'll be looking at some bounce action possibly tomorrow afternoon. It all depends on how the INTC situation pans out. My guess is things will be a little oversold in the afternoon as traders clear up positions ahead of INTC, so we may get a bounce on Wednesday AM.
I'm looking at SMH puts for May and QQQ April calls tomorrow. |
