OT: Your scenario could prove to be correct but even if it is the SOX is still not that oversold at all. The Williams can remain in the oversold area for a long time before the next earnings season begins like last quarter for instance.
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However, If the SOX finds support at the 50 day moving average we could rally off that back higher. I do not hold out much hope of a quick reversal if we get a close below 302 on the SOX.
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I am look for an RSI nearing 30 again on the index before thinking we are near another bottom.
In addition the longer term charts both weekly and monthly stochastics suggest we could have more downside ahead.
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RtS |
