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To: Justa Werkenstiff who wrote (137530)	12/6/2001 9:19:34 PM
From: sun-tzu	Read Replies (1) \| Respond to of 436258

2100 area is the upper boundary of the current nasdaq traing channel which has been intact since the september low. i was amazed to find the p/c ratio at .8 which is WAY too high for such a parabolic move up. this says that a lot of shorts are still in the game. after the move up yesterday, shorts felt limited upside risk and entered the market strong today. as closing strength for the week is so unexpected, the tape has miraculously become short-term heavy on the short side of the tape. they will not want to go into the weekend holding those positions and a hair trigger of strength will initiate another squeeze tomorrow. re 2100, i figure a ramp tomorrow would put us in that range at the close. if this scenario plays out, i will be putting on a few select technology shorts at the close for a short term trade back to the low end of the nasdaq trading channel which extrapolates to the 2000 area. as far as i'm concerned it will be earnings that cause the trading channel to break; however, earnings have been ratcheted down so low that this coming quarter i think will be easily met (and in fact surpassed). plus, inventories (technology of course as this is what drives the market) have come down so far that a small uptick in demand is expected here. i think this will be confused for a return to favorable times...a laugher of course. so imo it's not the coming earnings season that is the breaker, it's the following one. if you trend up that nasdaq channel and continue to oscillate, 2300 is a reasonable target which ties both this fundamental and technical thesis. as a trader i'm mostly concerned with tomorrow and i'm long.