Nemer; RE:" nice female people..."
...fortunately for me, too - my ConnieBaby is one of those (^_^)
Today's OEX Candlestick is a Bearish Engulfing pattern, having pierced the mid-line of Friday's (and Thurday's) candle body. This portends a reversal, but does not mean that a re-test of DJIA 7880 could not occur; support at DJIA 7745~7755 is intact.
The recent divergence of the DJIA and NDX have made life interesting for the index trader. Much of the present rally from DJIA 7400 has been focused upon the stronger, more conservative (some are using the term "defensive", as in consumer durables) stocks, rather than a sweeping flow of capital into all equities. Indeed, I had the impression during options expiration week that buy programmes, consisting of "baskets" of index-driving stocks, were being purposely pumped into the stock market. Perhaps it is simply that cream rises, first.
That the DJIA/SPX/OEX can rise so strongly without the participation of the (NAZ) TechStocks sector illustrates just how much more powerful any bullish rally can become when MSFT INTC AMAT DELL QNTM CSCO are driving their own groups in concert with the DOW.
We await the reaction to Tokyo/Seoul, and DELL's fine earnings.
-Steve |
