NASDAQ Technical Picture - Another Bullish Gap and Doji Star

Yesterday we closed above the lower red line which represents the base just prior to the July meltdown. Now, we are in a position to retest the July highs and form a double top. The NASDAQ is still not overbought. Cautious trading is in order because all of these dojis and stars means many choppy sessions.

Companies moving in after hours trading in reaction to earnings: Trading Up: BBBY +2.5%... Trading Down: XRTX -5.6%; PAYX -2.7%... Trading Up: SIGA +12.2% (ST-246 completely prevents mortality in Symptomatic Orthopox Virus infected primates); GSIG +8.4% (raises Q3 guidance); SLM +5.5% (Flowers Group open to renegotiating Sallie Mae deal, according to source -- DJ); SWSI +5.0% (Superior Well Services will replace Neoware in the S&P SmallCap 600); GYI +3.4% (Getty Images will replace Greater Bay Bancorp in the S&P MidCap 400); DRE +2.7% (S&P REIT Composite constituent Duke Realty will replace AG Edwards in the S&P MidCap 400); CPO +2.6% (Corn Products International will replace Catalina Marketing in the S&P MidCap 400); GLS +1.9% (signs agreement to acquire eight narrow-body aircraft); AVAV +1.9% (reaffirms FY08 revs guidance, below consensus; Co also awarded contract valued at ~$57 mln); WOR +1.7% (Announces 10 mln share repurchase authorization); ISTA +1.3% (expands its pipeline in allergy treatments; acquires exclusive N. American rights to bepotastine for nasal allergy); TEC +1.1% (announces sale of a portion of its Piceance Basin Asset for $33 mln in cash plus DJ Basin production and acreage); SAM +1.0% (Beer will replace Playtex Products in the S&P SmallCap 600).