NASDAQ Technical Picture - Choppy Extension

NASDAQ charts courtesy of stockcharts.com

Despite another new multi-year closing high for the NASDAQ, the first half of the session was choppy and very narrow range. The session lacked a catalyst beyond an extension of yesterday's momentum. I'd like to see a pullback to the intraday trendline before we attempt to extend further on basically no news.

Economic calendar: Crude inventories at 10:30

Companies moving in after hours trading in reaction to earnings: Trading Up: BRS +8.2%; MW +5.2%; DY +3.7%; MDT +3.3%; SNDA +3.1%... Trading Down: GIGA -12.41%; ADI -5.7%; EXM -3.8%; PHHM -1.0%... Companies moving in reaction to news: Trading Up: SRR +29.8% (Payless ShoeSource to acquire the Stride Rite Corporation for $20.50 per share in cash); AATI +16.1% (announced ITC judge rules in favor of AnalogicTech in patent infringement case); PTN +9.1% (and King Pharmaceuticals report data showing improvements in sexual relationship and self-esteem in patients); FRX +8.2% (Forest Labs and Cypress Bioscience announce positive results of phase III study for milnacipran as a treatment for fibromyalgia syndrome); ZOLT +3.4% (reports new expanded carbon fiber supply agreement with Vestas Wind Systems); AL +2.9% (board recommends that shareholders reject AA offer); WYE +2.5% (announces new long-term data analyses for Bifeprunox show favorable effects vs. placebo in stabilized patients with schizophrenia)... Trading Down: ARQL -4.2% (files S-3 filing to file up to $100 mln in a mixed shelf offering); FORG -2.2% (comments on patent trial results); MCBI -1.5% (announces receipt of non-compliance letter from NASDAQ); TRMM -1.2% (appoints Richard Stern as Chief Executive Officer); SLFI -1.1% (receives Nasdaq staff determination letter - Sterling to appeal).

AL is gapping up AH on news that shareholders have rejected the Alcoa offer. On the daily chart above we had a nice base and break pattern setting up. As you can see from the 60 minue timeframe below, the base has been taken out AH. Could be a good gapper trade for tomorrow.