ISEE closes at 156, on an uptrend. Getting more bulls on board, but not enough to call it frothy. CBOE equity put/call closes at .55, in the optimistic zone, but again not excessive. We are due for a pullback to the 5 day moving averages on the majors.
Option expiration week is over and there should be a slight hangover, although HPQ is on deck Tuesday and that could get the juices flowing either way. Some optimism on that one as nearby March calls total 69k versus 43k puts, .62 ratio ( 40, 42.50 and 45 strikes link ), It's a solid company, so bears should not get their hopes up, but we are are close to many price targets.
Techs in general are in a strange spot. The Nasdaq is climbing back up to its highs, but the actual leaders, such as GOOG, MSFT, CSCO, AAPL and INTC are lagging and in the case of GOOG, MSFT and AAPL actually trading below their 50 DMA's. Vista was supposed to offset the seasonal funk, but even that is being played down by MSFT. The Q's will need a catalyst and I don't know where it will be coming from. Maybe GOOG will resume its climb. They are now pushing telecoms, since nothing else tech works. QCOM looks bullish. We have SNDK warning after the close, so the enthusiasm might not last.
IBM is the one big tech that is trading near its highs, but it's not a Nasdaq stock. The price weighted DOW can be very thankful for that, since it is a 99 stock. In fact, IBM could be ready for a significant upside move if it can decisively crack its January 2004 closing high (99.23).
ES stays in the channel/wedge and does look ready for a slight breather, although it almost came down to touch its 5 DMA today. We will have to follow price on Tuesday, but 2 period RSI looks ready for a drop. Bulls want to crack 1460.50 on the close and get out of the wedge. Watch the VIX during Tuesday's session. If it starts a real bid, it could break the coil ES has been stuck in for two days. I sure hope so, because daytrading the past two days has been a complete bore and not worth anyone's time. Today's range proved once again that it is best to take opex Fridays off after 10:30.
Option expiration week is over and there should be a slight hangover, although HPQ is on deck Tuesday and that could get the juices flowing either way. Some optimism on that one as nearby March calls total 69k versus 43k puts, .62 ratio ( 40, 42.50 and 45 strikes link ), It's a solid company, so bears should not get their hopes up, but we are are close to many price targets.
Techs in general are in a strange spot. The Nasdaq is climbing back up to its highs, but the actual leaders, such as GOOG, MSFT, CSCO, AAPL and INTC are lagging and in the case of GOOG, MSFT and AAPL actually trading below their 50 DMA's. Vista was supposed to offset the seasonal funk, but even that is being played down by MSFT. The Q's will need a catalyst and I don't know where it will be coming from. Maybe GOOG will resume its climb. They are now pushing telecoms, since nothing else tech works. QCOM looks bullish. We have SNDK warning after the close, so the enthusiasm might not last.
IBM is the one big tech that is trading near its highs, but it's not a Nasdaq stock. The price weighted DOW can be very thankful for that, since it is a 99 stock. In fact, IBM could be ready for a significant upside move if it can decisively crack its January 2004 closing high (99.23).
ES stays in the channel/wedge and does look ready for a slight breather, although it almost came down to touch its 5 DMA today. We will have to follow price on Tuesday, but 2 period RSI looks ready for a drop. Bulls want to crack 1460.50 on the close and get out of the wedge. Watch the VIX during Tuesday's session. If it starts a real bid, it could break the coil ES has been stuck in for two days. I sure hope so, because daytrading the past two days has been a complete bore and not worth anyone's time. Today's range proved once again that it is best to take opex Fridays off after 10:30.
This entry was posted
on Friday, February 16, 2007 at 2/16/2007 09:08:00 PM.
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