JR, (I always liked that combination of initials), under normal circumstances, QCOM would be setting up for a bullish move. It fell below a support level today and promptly bounced right back up. This particular type of pattern is referred to as a "spring" action type of pattern. Spring action patterns have a tendency to bounce back strong.
The spring action comes from the tail of the body pattern breaking support and bouncing back. (That's what QCOM did today). If the body, not the lower shadow or tail, had broken support, the trend would indicate the share price is going lower. Since it was just the tail that broke support, this would give the bulls the advantage under normal circumstances.
Keep in mind, I said under normal circumstances. The condition of the market needs to be taken into consideration. If the general market is going to trend lower, then QCOM may go along with it. On the other side of the coin, a positive close on Monday may confirm a short term trend to the upside, but being nimble here is critical in my opinion.
Other than that, all of the other indicators are showing QCOM is oversold, but who don't know that!
stockcharts.com[h,a]daclyimy[pb20!b10!f][vc60][iut!Ub14!Ua12,26,9!Lh14,3!Lc5!Ll14!Lj[$spx]]
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