Sunday, February 04, 2007

NASDAQ Technical Picture - Low Volume NR Trade

Another low volume, NR day on Friday. Good setups were hard to find but some of my momo favorites rallied nicely intraday - GYMB, RIMM and ICE.

We need a catalyst to move the NAZ out of this trading range which has been in play since the tail end of November. Looking at the ADX line (which confirms the lack of momentum), we can see that it peaked in the third week of Nov. , swooning at a 45 degree angle through the early part of December, and flat lining from there.

The economic calendar is unlikely to spark the market this week as it is very slim - ISM Services Monday at 10:00 and nothing on Tuesday. The earnings calendar is a little more interesting and includes CSCO on Tuesday, AKAM Wednesday and BRCM Thursday.

No comments: