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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: Johnny Canuck who wrote (35400)	12/4/2001 10:56:09 PM
From: Johnny Canuck	Read Replies (2) \| Respond to of 69117

Who Let The Bulls Out Magican - BuySellShort.com 12/4/2001 We correctly called today's bounce last night. A little more than what we expected but we aren't complaining and neither should you (unless you were short!) The Fundies were out in force today to the chagrin of shorts and bears. With no economic news on the calendar today and a lack of bad news the market advanced slowly throughout the day before exploding in the final hour of trading. The Nasdaq found itself clearly break through its 200 dma today, an extremely good sign for the market near term (at least for today!). One excuse used for the rally was yet another call that the semiconductor sector has hit bottom, the fiftieth such bottom this year! Some analyst has been saying that every week for the last year. I suppose one of them will get it right. Traders should look for a slight retrace in the morning that may prove to be a good buying opportunity. This is why we have chosen to wait for a 22.50 Vix reading before shorting in any size. This market has been vicious on shorts for the last several weeks. Traders should be aware that the next FOMC meeting is December 11th, next Tuesday. We will have comments on this in our newsletter tomorrow. December 5th is an up day on the Nasdaq 57% of the time with 12 up days and 9 down days since 1971. Also helping fuel today's rally was CSCO CEO John Chambers who came out with his usual quarterly statement that sales were on track for the quarter, causing a buying spurt in shares of CSCO and other large cap stocks. Chambers also reiterated that the company still lacked visibility making the news release a non-event. All sectors closed in the green today with Technology leading, adding 3.8% on a 3% increase in volume. Computer Storage Devices was the leading Industry group, with SNDK the best performer there.