This Is A Typical Pattern
This is a typical weekly pattern seen in bear
markets. The market starts the week higher, and sells off late in the week
to close on a down note. The focus for today has come off the Dow and is
being focused squarely on technology stocks — and expectations for weak
earnings performances ahead
The Nasdaq is down 41.67 at 4122.43, the Dow is down
60 at 8508, and the S&P 500 is off 5.54 at 1001.50.
Sonus Technology
(
SONS |
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downhill after saying it will lose even more money than originally
forecasted. Traders are trouncing the supplier of networking equipment to
major telecos, slamming its share price 62%, or 3.99 to 2.41.
Tech stocks are also getting hit after analysts cut
earnings estimates on two tech bellwethers. Morgan Stanley lowered its price
target on networking giant Cisco
(
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PowerRating) and traders are marking it down
10%, 1.10 to 11.13. Cisco is the session’s most active stock.
And Lehman Brothers cut estimates on Big Blue
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handing it a loss of 3.00 to 88.24.
But hurting the Dow more than IBM is Intel
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with a loss of 5.74%.
Fear in the airplane business is still evident as
Boeing
(
BA |
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as one-third since the Sept. 11 attack.
Economic reports are only working to confirm fears
that recession is looming. Jobless claims jumped to a nine-week high and the
Commerce Department said that big-ticket, durable goods orders fell for the
third straight month.
But it’s not all gloomy as the market remains a market of stocks rather than
a stock market. On TradersWire Interactive we pointed out setups prior to
good moves higher in Lockheed
(
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Invitrogen
(
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Cerner
(
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St. Jude Medical
(
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(
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PowerRating).