Saturday, March 06, 2010 8:50:26 AM
Re: $COMPQ Double-Top ... - GOOG, MSFT, AAPL, QCOM Charts:
Looking at the major US indices below (DJIA, SPX, NYSE, Nasdaq, Russell), it seems that that the technology and/or smaller companies are carrying indices higher than their older large caps counterparts.
QCOM:
One company in particular is QCOM, which has slammed the QQQQ down against its other more bullish components (AAPL, GOOG, MSFT) - See chart below: "BDH ETF: Broadband Holders", where all components of that ETF are falling under a remarkable overhead bearish trendline pressure. Considering that QCOM is a top element of $COMPQ, it may continue to pull the Nasdaq down and prevent that index from breaking out of the January high.
Bull Trap?
At this point, the technical risk (which you have pointed out) are the gaps which seem to dominate the charts. The last gap may represent the very last bullish leap before a downtrend (effectively creating a bulltrap), not only because the market has not yet broken out of the bearish trend, and that your $INDU chart shows a definitive downturn per the 100 x 30-MA bearish cross, but also because of an unshakable collective doubt regarding the economies of this and other related countries. So, the historical high may be the last stop before a reversal. And such a neat and clear double-top would not bode well for the overall markets, and the bulls.
Overall - The charts remain marred with overhead bearish resistance lines, negative divergences. The highs achieved in the Russell 2000 for instance does not reflect the "state of mind" within larger and more respected indices, such as the S&P 500. Until a breakout occurs in such a benchmark, then doubt of a meaningful market recovery will prevail, IMHO:
(Following chart source: http://stockcharts.com/def/servlet/Favorites.CServlet?obj=ID2140281 )
SPX, Nasdaq, DJIA Chart:
SPX, NYSE, Russell Chart:
BDH EFT - Broadband Holders Chart:
QQQQ Chart:
AAPL - Weekly Chart:
GOOG - Weekly Chart:
MSFT - Weekly Chart:
QCOM - Weekly Chart:
- Dalcindo
Looking at the major US indices below (DJIA, SPX, NYSE, Nasdaq, Russell), it seems that that the technology and/or smaller companies are carrying indices higher than their older large caps counterparts.
QCOM:
One company in particular is QCOM, which has slammed the QQQQ down against its other more bullish components (AAPL, GOOG, MSFT) - See chart below: "BDH ETF: Broadband Holders", where all components of that ETF are falling under a remarkable overhead bearish trendline pressure. Considering that QCOM is a top element of $COMPQ, it may continue to pull the Nasdaq down and prevent that index from breaking out of the January high.
Bull Trap?
At this point, the technical risk (which you have pointed out) are the gaps which seem to dominate the charts. The last gap may represent the very last bullish leap before a downtrend (effectively creating a bulltrap), not only because the market has not yet broken out of the bearish trend, and that your $INDU chart shows a definitive downturn per the 100 x 30-MA bearish cross, but also because of an unshakable collective doubt regarding the economies of this and other related countries. So, the historical high may be the last stop before a reversal. And such a neat and clear double-top would not bode well for the overall markets, and the bulls.
Overall - The charts remain marred with overhead bearish resistance lines, negative divergences. The highs achieved in the Russell 2000 for instance does not reflect the "state of mind" within larger and more respected indices, such as the S&P 500. Until a breakout occurs in such a benchmark, then doubt of a meaningful market recovery will prevail, IMHO:
(Following chart source: http://stockcharts.com/def/servlet/Favorites.CServlet?obj=ID2140281 )
SPX, Nasdaq, DJIA Chart:
SPX, NYSE, Russell Chart:
BDH EFT - Broadband Holders Chart:
QQQQ Chart:
AAPL - Weekly Chart:
GOOG - Weekly Chart:
MSFT - Weekly Chart:
QCOM - Weekly Chart:
- Dalcindo
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