Here’s Why The Semis Look Strong
The major averages just refuse to stop rising.
Every day, we see them finish at or near the daily highs.
Today was no different as the indices finished higher as volume came in
slightly higher on the Nasdaq (not shown).
Individual stocks are holding
their own although there are a few pitfalls here and there. United
Online
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PowerRating) was one of them as the
stock moved further below its 50-day, but found support at the 200-day moving
average.
Since mid-March, there
have been several groups leading the market higher.
Internets, Medicals and Semiconductors
have seen money rotate all the way up and tomorrow looks like it won’t be any
different. Semis looked strong after Intel
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PowerRating)
impressed investors after the close.
As the market has ripped
higher so quickly in October, there are not that many stocks setting up right
now. Most names are either extended from recent
consolidations, such as Network Appliance
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PowerRating) or still need to work through current bases.
Marvel Technology
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PowerRating) is a name that failed to move through
a pivot point at 43.70, but it looked strong after the close as well. Technically,
the stock could use at least one more day to complete a five-day handle on its
current base.
As we move through what
appears to be another solid week in the market, it is important to find spots
to put money to work. It is always best to use a strong set
of proven rules, and look for stocks or ETFs that fit these criteria.
Until Thursday,
Tim Truebenbach