Once again Nasdaq manage to ignore warnings, eg. from JDS Uniphase and Broadcom, and ended the day up for the third straight session…adding 19 (0.9%) to 2,223…with a volume of 1.76 billion and advancers outnumbering decliners by 20 to 17…
"The Nasdaq is showing resilience [in the face of] bad news, [suggesting] we're probably near the bottom," said Mike Holland, president of Holland & Co….
Charles Payne, head analyst with Wall Street Strategies said, "I'm a little bit impressed because it seems like every time we start to drift buyers are being wooed out of the woodwork a bit…It shows that people are lining up and they want to jump in there but they need the right stimulus."
Of course as always the question is going to be if we’ve witnessed the bottom and if this is a real long-term turn round…and as it’s usually the case most analysts’ views contradict…but the one thing that seems to be sure is that it’s the traders and not investors pushing the Nasdaq up recently…as always is the case traders looks for and jump to short-term opportunities but investors are more patient and wait for concrete signs of economic recovery and positive earnings outlook and that’s exactly the point where we can be sure of a proper bottom and a long-term sustained uptrend…that’s when investors will be pouring money back into the markets instead of cautiously finding select bargains…even my granny will be able to see the clear turn round then
As I said yesterday we’re not there yet…but not far away…and not in a so bad position comparing with last month when any tech stock was an issue of selling and shorting…now tech stocks are attracting buyers who think they are oversold…
Over all we’re going to witness more bounces both up and down…still early to consider holding tech stocks long-term, but great intraday/short term trade opportunities which suits my new temporary trade style well…good luck and be cautious please...
Riz
"The Nasdaq is showing resilience [in the face of] bad news, [suggesting] we're probably near the bottom," said Mike Holland, president of Holland & Co….
Charles Payne, head analyst with Wall Street Strategies said, "I'm a little bit impressed because it seems like every time we start to drift buyers are being wooed out of the woodwork a bit…It shows that people are lining up and they want to jump in there but they need the right stimulus."
Of course as always the question is going to be if we’ve witnessed the bottom and if this is a real long-term turn round…and as it’s usually the case most analysts’ views contradict…but the one thing that seems to be sure is that it’s the traders and not investors pushing the Nasdaq up recently…as always is the case traders looks for and jump to short-term opportunities but investors are more patient and wait for concrete signs of economic recovery and positive earnings outlook and that’s exactly the point where we can be sure of a proper bottom and a long-term sustained uptrend…that’s when investors will be pouring money back into the markets instead of cautiously finding select bargains…even my granny will be able to see the clear turn round then
As I said yesterday we’re not there yet…but not far away…and not in a so bad position comparing with last month when any tech stock was an issue of selling and shorting…now tech stocks are attracting buyers who think they are oversold…
Over all we’re going to witness more bounces both up and down…still early to consider holding tech stocks long-term, but great intraday/short term trade opportunities which suits my new temporary trade style well…good luck and be cautious please...
Riz
