Drop in oil is giving stocks support, but it might not be enough. Watch YM 10720, January 3rd low. COMP 2250 has become resistance, so watch that as well tomorrow. NQ 1695 is 61.8% and another one on the radar with 50 dma a little higher at 1705. The one positive is the SOX above 511 and I am not counting the bulls out as long as it holds. But as everyday passes by and tech earnings come in, it is getting harder to justify the rally. Too many disappointments in tech land. I am short QM (oil) on the monitor from 68.275, as frankly I think that one is due for a severe drop once the lunatic in Iran calms down. There is supply and the weather is warmer.
This entry was posted
on Monday, January 23, 2006 at 4:06 PM.
