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Strategies & Market Trends : Ahh Canada - 2 out of 3 ain't bad -- Ignore unavailable to you. Want to Upgrade?

To: Cush who wrote (1759)	4/2/2001 9:24:10 PM
From: Davy Crockett	Read Replies (1) \| Respond to of 5144

Hi Cush, I keep flipping through my basket of charts, but either I'm unable or unwilling to see what the charts are telling me... I'll keep flipping tonight to see if I can up with any (other than energy), charts that may be putting in a saucer type of consolidation or stocks that are resisting 'da Bears. <g> Regards, Peter

To: Cush who wrote (1759)	4/2/2001 10:52:13 PM
From: Shack	Read Replies (1) \| Respond to of 5144

Hi Cush, thats a great chart. Simple and clear. Its amazing how close we are to those 1998 lows now, about 15% away. Its really mind-numbing when you think about how far this index has fallen, truly a once in a lifetime event. I thought the 1998 lows would be the bottom for this leg of the decline, now I wonder. If we do get that flush it would likely take us right through them unless we rally a bit from here. Yesterday I posted the SOX chart as an indictor of where I thought the Nasdaq was going, it proved to be accurate. I think focussing on some key sectors gives as a good idea of where the broad indices are heading. Here's the SOX again: stockcharts.com[w,a]daclyimy[dd][pb10!b20!b50!b200][vc60][iUc20!La12,26,9!Lf!Lh14,3] I hate to say it but it would appear that this plunge does not look done on this chart. We convincingly crashed through the key support level of 515 and have room to go according to the stochs. Here's another chart showing that if we give up this shelf at 500 or so, we don't get much support until about 400. A 20% drop in the SOX would be devastating for the Nasdaq. Weekly MACD looks to be turning negative again as well. stockcharts.com[w,a]waclyimy[df][pb10!b20!b50!b200][vc60][iUc20!La12,26,9!Lf!Lh14,3] Now, for non-tech the sector which is lead by the financials and in particular the banks, thus here is the BXX: stockcharts.com[w,a]daclyimy[dc][pb10!b20!b50!b200][vc60][iUc20!La12,26,9!Lf!Lh14,3] This rally off the lows looks like its getting a little extended but this chart is not too bad. We are likely going to turn back down shortly to alleviate the overbought condition. The question is does that key 750 support hold? If the banks go, the broad market is toast. From an Elliot wave perspective things are grim but I will reserve judgement unitl 750 is cracked. Here's the weekly chart of the BKX: stockcharts.com[w,a]waclyimy[df][pb10!b20!b50!b200][vc60][iUc20!La12,26,9!Lf!Lh14,3] Once again, not too bad but if we turn back down hard, the indicators will get ugly.