After a nice opening rally, we got a solid reversal at NQ Daily R1 and monthly R1 (1737). When you get that kind of convergence, play it. Add 61.8% 2006 at 1739 and you have way too many levels of resistance in synch to not have sell programs kick in. That said, NQ found closing support above 1722.50, now an area it must hold tomorrow. The other one to watch is still COMP 2333 and the obvious SPX 1300. My focus is on the somewhat awakened techs, so I am keeping a close eye on COMP, NDX and SOX (503.60 especially). Other than that, it has been a buy support sell resistance market with no clear trend. The one notable exception is YM (DOW futures), now finding resistance at the 20 dma (11232) and that is bearish. BIX (banks) has also broken support at 369.85, but that was to be expected with the yield jump. Lots to keep an eye on, but realize that GOOG gets added tomorrow at the close to SPX, skewing just about every indicator in sight.
This entry was posted
on Thursday, March 30, 2006 at 5:27 PM.
