Dell’s Hard Drive

Dell has been in a basing process since last
November and like some of the semis I have recently mentioned, Dell refused to
fall back to its December 2000 lows despite all of the carnage in the Nasdaq
since January.

Dell traded as high as 59.68 last March 22, 2000,
and has been under pressure since, but as I said, it has put in a fair amount
of time basing of late. On Thursday, Dell poked its head up to a two-month high
and managed to close at its highest level since January.

I will continue to watch Dell to see if it can
take out its Jan. 30 high of 28.81 on increased volume, and if it can do
that, then the next resistance would be at its Nov. 7 high of 33.06.

Till tomorrow,

Eddie

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