Wednesday, April 9, 2008


The decline of the last two days has the feel of a shakeout. Notice that the Qs bounced nicely off of the 50dema and are well above the 10 day closing low. The macd is positive. The only near term negative is the lack of volume on the rally, which suggests a bear market rally. Nevertheless, higher prices are likely unless the Qs fall below 43.33, so don't be too quick to dump your long positions. Bear market rallies tend to be choppy affairs. The .618 retracement of the last advance from the 3/28/08 low is 44.51. Ideally this level should hold.
One update on the System Tracker.

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