Boiler Room

[Soapy Bubbles]

No. I see a channel forming between 112-121(122ish) since the Aroons are running parallel and the weak but holding RSI. People have been acc'ing since the 20th Nov and been holding pretty nicely -- hence the higher lows yet hitting the 144 ceiling. So, what I see is consolidation (a rising triangle) as long as the Street doesn't panic. I'd (if I had the extra cash) be looking into calls since I see an inverted H&S on the DOW and the triangle on BIDU. I would look for a MA(20)call by Feb 09. If not, I'd be surprised.

Now... that (above) applies if the media doesn hammer the snot out of the lawsuit. If they do, I would bias to the bottom of the channel and wait for the channel to be backtested twice before buying a call.