Major Correction In Technolgy
Obviously, Tuesday’s sharp rally has most of
technology sharply off its lows. This may be the beginning of a correction of
the longer longer-term oversold condition. Due to the magnitude of the rally,
you might want to wait for technology to stall out again before attempting to
buy puts and put spreads. In other words, don’t fight it. With that said, computer technology
(
$XCI.X |
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PowerRating), software
(
$GSO.X |
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(
$IIX.X |
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vulnerable.
Oil service
(
$OSX.X |
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PowerRating), mentioned
recently, still looks vulnerable. Continue to look for buying opportunities in puts and
put spreads here but wait for follow through to the downside.
Best of
luck with your trading on Wednesday!
P.S. Reminder:
Protective stops on every trade!