Good morning, Anindo;
>>>sold my inet stocks today
Me too. Many others must have done the same. No wonder we reversed.
>>>Will look for a better time to reenter YHOO, AMZN and AOL.
I haven't been back in AOL since ~117. That 1M shr. block trade a few days ago will spook traders for a while. Remember NT back in Jan?
>>>How low do you think NASDAQ goes before turning up?
We are down here because of five stocks(MSFT, INTC, CSCO, WCOM, DELL) dropping ~62 points in the last few trading sessions. They represent software, chip maker, networker, telecom, and computer maker industries. They also represent ~62% of the NDX and ~48% of the NAZ.
Therefore:
NAZ bottom=NDX bottom=(MSFT,INTC,CSCO,WCOM,DELL) bottom.
Next support for these stocks are:
msft @ 91, -7
intc @ 75, -4
csco @ 41, -5
wcom @ 41, -3
dell @ 50, -5
---total = -24
That's about 54 NAZ points. Add another 54 points for the rest of NAZ stocks in sympathy and you come up with 108 total points.
1510-108=1402
That's your absolute bottom.
I don't think we'll get there. I think we are close to a short-term bottom. Something awful must happen for NAZ to drop another 100 points.
>>>Will AMD make a difference ?
It should improve the psychology but in reality AMD did well because one out of every two PC shopper prefers to spend ~$1000 for a PC.
So should DELL go up today when AMD says that the PC market is strong?
You tell me.
Clint |
