Idle Hands
Today is the ideal day to take a nap. In the four hours that the market has
been open, the futures have primarily been in the same consolidation pattern,
with few, if any, breakouts or pullback plays based on moves in the indices
If you are wondering, “Wassssup?” with Anheuser-Busch
(
BUD |
Quote |
Chart |
News |
PowerRating),
people are buying the defensive name. Watch this one for a continuation move on
Monday.
Â
Today’s Watchlist:Â
(
QCOM |
Quote |
Chart |
News |
PowerRating).
(
IWOV |
Quote |
Chart |
News |
PowerRating),
(
JDSU |
Quote |
Chart |
News |
PowerRating)
Interestingly strong once again on
Friday is Qualcomm
(
QCOM |
Quote |
Chart |
News |
PowerRating). It has been trading higher despite other market
trends. Currently, it is in a consolidation pattern not far from its highs. Set
your alerts near the intraday high as well as near the low of the consolidation
and watch for moves out of this trading range. If it breaks to the downside,
watch for potential support near the intraday consolidation that took place
earlier this morning. If it breaks to the upside, remember to trail your stops,
because the market is weak, and it may pull back.
Interwoven
(
IWOV |
Quote |
Chart |
News |
PowerRating), like many tech names, is testing support
levels. In this case, it’s a trendline which formed after the two most recent
pullbacks. Many stocks in the software group have been weak of late, and have
destroyed the potential breakout patterns that they had formed, such as Siebel
Systems
(
SEBL |
Quote |
Chart |
News |
PowerRating). Note that IWOV is now trading below its 50-day MA of 103.
Set your alerts near 95 and watch for another move south in a weak market.
JDS Uniphase
(
JDSU |
Quote |
Chart |
News |
PowerRating), in the same group as Ciena, continues
to be hurt. After breaking through the support levels that formed in April, it has been unable to make a recovery.
The daily candlestick chart shows just how many of the days have
actually been negative. This is helpful, because when looking for shorts, it is
best to look for the weakest names over the near-term. Add this one to your
near-term short list and watch for more weakess.
Hopefully there will be some sort of resolution before the
weekend is over, but do not count on it. Otherwise, expect similar volatility
again on Monday.
Until Monday,
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