And while the semiconductors were able to mount a defense at what is increasingly looking like support, it did so by violating what I suggested to use as a stop. Tomorrow may provide another bite of the cherry with a broader stop at 331.
Friday will probably see a positive close with reasonable chance of a gap higher. But a snap back rally will simply take things back into supply. Building a recovery will likely require new closing lows to washout the last of the weak hands. Much to play for but bears have the upper hand.
Follow Me on Twitter
Build a Trading Strategy in Zignals; Read how and earn real money (once out of Beta) in this PDF.
Dr. Declan Fallon, Senior Market Technician for Zignals.com, offers a range of stock trading strategies for global markets, also available through the latest rich internet application for finance, the Zignals MarketPortal or the Zignals Trading Strategy MarketPlace.
Zignals offers a full suite of financial services including price and fundamental stock alerts, stock charts for Indian, Australian, Frankfurt, Euronext, UK, Ireland and Canadian stocks, tabbed stock list watchlists, multi-currency portfolio manager, active stock screener with fundamental trading strategy support and trading system builder. Forex, precious metal and energy commodities too. Build your own trading system and sell your trading strategy in our MarketPlace to earn real cash.
Read what others are saying about Zignals on Investimonials.com.
JOIN US TODAY - IT'S FREE!