Snazzy Naz
This was a day for
the reporter and the daytrader, not the position taker.
The reporter could write good stories
about the comeback in the Nasdaq.
And the daytrader had more than his
share of long side opportunities.
But the day meant little to the
intermediate trader, with many shares still frozen beneath layers upon layers of
resistance.
Tuesday is a good example of how fast
the glamours can whip back in the right direction following a letup in selling.
This stresses the importance of doing
your homework and knowing which stocks are acting best from an intermediate
standpoint at all times.
And then when the time comes — and it
will, someday — you will be there like Johnny at the rathole, ready to pounce
when conditions warrant.
Otherwise, aside from making some
bright headlines, Tuesday’s action was of little importance to the aggressive
position trader.
In the bells, EMC
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PowerRating), Corning
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rose on lighter volume and are ensconced beneath dense resistance.
Their work is cut out for them.
Names like Brocade
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Transwitch
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PowerRating), etcetera also moved up on
reduced volume.
This is to be expected after a hunky
selloff, but doesn’t tell anyone that the institutions have returned to the
right names.
Speaking of the names, Comverse
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CMVT |
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PowerRating)
has been acting particularly well of late, chalking up four accumulation days
versus zero distribution days over the past nine sessions.
Meanwhile, the bios remain the group en
vogue for the medium-term player.
Here, the bases are the best-looking,
most constructive, and most advanced.
But, as we know, a good group is worth
precious little unless the market itself is in gear.
A special thx. to my friend who
arranged for my visit to The Floor as well as to the floor brokers who ushered
me this way and that.