Tech Rolling Over
Like the Nasdaq itself, technology in general
began to roll over from an overbought condition. Look for buying opportunities
in puts and puts spreads here, but wait and analyze the situation after the open
in light of the Cisco news. In other words, second entries may be your best
entries.
Internet
(
$IIX.X |
Quote |
Chart |
News |
PowerRating), mentioned recently,
appears to be stalling out right at an areas of overhead resistance. Continue to
look for buying opportunities in puts and put spreads here.
Computer technology
(
$XCI.X |
Quote |
Chart |
News |
PowerRating) also
appears to be bumping up against resistance. Continue to look for buying opportunities in puts and
put spreads here.
The
broker/dealers
(
$XBD.X |
Quote |
Chart |
News |
PowerRating) once again appear to be stalling out. This
suggests that their longer-term downtrend remains intact.
For you
OEX traders, the VIX, mentioned Thursday, remains stretched to the downside away from its
10-day moving average. Continue to watch for strategies which seek to capitalize on
an increase in volatility.
Best of
luck with your trading on Tuesday!
P.S. Reminder:
Protective stops on every trade!