L’Intel
Bonjour tout le monde. Je rentre de Paris.
When people go on vacation, they often plan on leaving work behind. That was
the plan until I turned on French television to hear “Intel a annonce un
avertissement de benefices cet apres-midi.” An “avertissement”* I
thought to myself. That is not going to be pretty. The markets will not be happy
about this. As I walked by the newstands in the morning, I saw the same
headlines on the covers of the Financial Times and Le Monde (a widely read
French newspaper). Of course, with France being eight hours ahead of the U.S., I
could only think of the awesome buying opportunity that would occur in the
morning. Alas, I did not take advantage of the situation. How could I? I was on
vacation.Â
What intrigued me even more was what people would be saying about the
markets. As usual, the pundits were out speaking of the terrible bear market. I
maintain my stance on the situation. It is what it is, a trading range. Trade it
as you would any other range. If you trade the big names, then keep your eyes on
the indices.
Below is the Nasdaq, as I see it.
Index
Check-Up: The Semis
It seems everywhere that
you go, you always hear about the semis. Why don’t we see where they stand?
It does not look all that pretty. Monday’s move below the August
3 low suggest possible further movement south. At this point, there remains a
bit support at each of the levels tested in June and July. The recent
announcement by Intel certainly will not help the sector, but it may not destroy
it all together. There is a common misnomer that Intel is the largest weighted
stock in the index. As a bit of trivia for today, I invite you to send me your
thoughts on what is the biggest piece of the index. I will share the answer on
Wednesday.
Today’s Watchlist:Â
(
CCUR |
Quote |
Chart |
News |
PowerRating),
(
ARXX |
Quote |
Chart |
News |
PowerRating)
Concurrent Computer Corporation
(
CCUR |
Quote |
Chart |
News |
PowerRating) is trading just
under a near-term resistance level. After bouncing just over the 50-day MA,
CCUR entered a tight consolidation pattern. Set your alerts near 20 as we watch
for a move above resistance. Noteworthy is the recent declining volume,
suggesting that a move may be nearing. The high-volume spike in early September
on the bounce off the lows shows that buyers have not left the game.Â
Aeroflex
(
ARXX |
Quote |
Chart |
News |
PowerRating) is another issue trapped in a consolidation
pattern. Stuck between 41 3/4 and 46, we are seeing a roughly 12% range. The
price action has been backed by consistent volume. Set your alerts near the top
and bottom of the pattern as we watch for a move outside of the trading range.
We will monitor for a volume-backed move outside of the trading range. Should
the stock break to the downside, it may see support near the top of the
consolidations pattern of July and August. A breakout to the upside looks to
provide an easier trading opportunity. Of course, in this market many breakouts
are failing.
Until later,Â
* avertissement
= warning