If The Market Doesn’t Do This On Tuesday, Fuggetaboutit

September 15, 2003
Dave Landry

Looking to the indices, on Monday, the Nasdaq opened firmer
and initially rallied. It then generally chopped and drifted lower in a narrow
range for the remainder of the day.

So far, the index remains set up as a pullback.

The S&P put in a similar performance. This action keeps
it near its prior breakout levels.

So what do we do? Monday is the type of day you
want to miss as a momentum swing trader. Stocks (and the indices and sectors)
rallied just enough to make it look like the uptrend was resuming. However, as
you know, it reversed to close poorly. This left us with a lot of “false
entries.” If you were lucky enough to miss today, then there could be an
opportunity on the long side on Tuesday if stocks (with confirming
sector action of course!) can trade above Monday’s false rally high. If they
don’t, as my friends on the east coast say, fuggetaboutit.

Looking to potential setups, Cymer
(
CYMI |
Quote |
Chart |
News |
PowerRating), mentioned
recently, still looks like it has the potential to resume its longer-term
uptrend out of a pullback. However, as mentioned above, wait to see if it can
trade above Monday’s “false rally.”