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Strategies & Market Trends : John Pitera's Market Laboratory -- Ignore unavailable to you. Want to Upgrade?

To: Logain Ablar who wrote (3536)	3/23/2001 9:57:04 AM
From: John Pitera	Respond to of 33421

Tim, many of the well know tech names are showing bottoming action when looking at the daily charts. I've seen several triple momentum buy divergences on the daily RSI's, MACD's and ROC oscillators. the VIX high was 41.99 yesterday, you have to go back to last springs decline to see a level that high. In Fact, yesterday was the highest high in the VIX since 1998 and also the highest close since then. Clearly the factors needed for a near term bottom are crystallizing. The Tick went lower than --1400 twice yesterday, it's been a number of months since we've seen that level. Ideally we'll see -1600 to -1800 on the tick or even -2000 or more on a capitulation low. The DJIA and SPX seem like they are not finished with their decline and the NASD will probably lead the other two the next few months, as it has the last number of months. The Tick hit -1400 twice yesterday, It was a classic set up as the 2:40 PM lower low in the SPX had a slightly higher tick than the morning low of -1400 on the tick and the trin made a lower high at the 2:40 PM market low, as compared to the 11:30 AM low in the spx and djia. A very nice divergence was established. The VIX also clicked up to a higher high at the afternoon low, compared to the morning low. John