Not sure I like the fact the financials are not participating. I agreed with the rumordude comment.
1650 gap filled, so I expect a pull back.
That actual US response will spark one more rally, so Clint's thinking that we have seen a near term bottom is the most likely scenario. The current fiscal stimulus policy of the Fed and the White House will have a short term effect only on the market. The underlying fundamentals need to catch up. The NAPM was the first indication that the 8, now 9 cuts was starting to take effect. The current lay off though indicate indicate most companies do not share that view, as they would now be reducing their capabilities if they thought the re-bound will happen soon. The market typically looks out 6 to 9 months ahead to get direction. Currently, that dirction looks like up. Right now my scenario of a new upgrade path in computers and telecom are 12 months away though.
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[RumorDude]
Thu Oct 4, 11:04am PDT VRSN
Just taking some profits here and even balancing our 45-50 call spread. Sell to close 1/3 Oct 45 VRSN calls.
[madtrader]
Thu Oct 4, 11:03am PDT $NDX.X
Jim Cramer suggests that the big pop yesterday was caused by the Bush speech. Bush is on the tube again right now, but I don't think we will get an encore for NDX. none.
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[madtrader]
Thu Oct 4, 11:02am PDT WM
BAC
WFC
These financial names aren't having a good day. They ran right back to their trendline and got stopped. All of these names have broken their uptrend. One would have assumed that with all the rate cut they should be the prime candidates to go long. Certainly not acting that way. none.
[madtrader]
Thu Oct 4, 10:56am PDT QCOM
This stock is just weak! Not bouncing with the tape at all! It is still in distribution. A break below 42 would set up a nice short. none.
[madtrader]
Thu Oct 4, 10:50am PDT AMGN
BBH
Adding another piece of the puzzle here. With ATHM and EXDS out of NDX. They have been adding biotech names to the index. Well, these biotechs have not participated in the rally much. One look at AMGN and it tells you the whole group is in trouble. Which can't be good for QQQ now that biotechs are one of the bigger weights in the index. none.
[madtrader]
Thu Oct 4, 10:48am PDT MSFT
QQQ
MSFT has backed off quite a bit from it's highs. I don't know what people are waiting for. Time to take the gain and run. This just never fails, higher prices just brings out buyers. The biggest problem I have with names like MSFT and EBAY is that despite the gain and the MACD crossover, the MACD are crossing over with a lower low, even though the prices are higher than the April lows. A negative divergence in my book. I am sure people can get lower prices next week. Short QQQ, long Oct QQQ 33 |
