This is really a bounce play and see what happens. That is whether this has put in a double bottom today as it moved off the 30sh area today.
The SOX bounced today at the .618 retracement level from the Sept/Oct low to the March high, which is a supporting factor.
I see that there is sort of a divergence in the MACD and stochastics and while I don't put much stock (pardon the pun) in these indicators, there are plenty who do and I suspect have many begun to position themselves long in the stock.
My initial thoughts were to place a stop at the low of the day - 30.70 - but thanks to the response to CSCO's earnings I can now raise the stop to breakeven or better. We'll see tomorrow what kind of the bounce is in the techs.
I am still prepared to go short on the Semis once this bounce fails.
KLAC, NVLS, AMAT BRCM, QLGC, BRKS, and NVDA, could all be good short candidates after a bounce and reversal.
The SOX bounced today at the .618 retracement level from the Sept/Oct low to the March high, which is a supporting factor.
I see that there is sort of a divergence in the MACD and stochastics and while I don't put much stock (pardon the pun) in these indicators, there are plenty who do and I suspect have many begun to position themselves long in the stock.
My initial thoughts were to place a stop at the low of the day - 30.70 - but thanks to the response to CSCO's earnings I can now raise the stop to breakeven or better. We'll see tomorrow what kind of the bounce is in the techs.
I am still prepared to go short on the Semis once this bounce fails.
KLAC, NVLS, AMAT BRCM, QLGC, BRKS, and NVDA, could all be good short candidates after a bounce and reversal.