Wednesday, September 12, 2007

NASDAQ Technical Picture - Gravestone Doji

A gravestone doji signifies weakness and we could be in for some consolidation or a pullback here. TXN earnings/guidance triggered weakness in the SOX which provided leadership in the afternoon selloff. Sell Rosh Hashanah seasonal could be in play. Expect lower volume due to the high holiday.

Companies moving in after hours trading in reaction to earnings: Trading Up: GROW +6.7%... Trading Down: BRLC -25.8%... Trading Up: MCD +2.9% (announces $0.50 increase to dividend and total cash return tgt); ATRM +2.9% (receives orders for over $6.0 mln in gravity feed test handlers); TGT +2.6% (to review ownership alternatives for credit card receivables; co also to analyze capital structure); TIE +2.0% (TIMET and United Technologies enter into new long-term supply agreement); UNCL +1.3% (receives orders for over $6.0 mln in gravity feed test handlers)... Trading Down: AZPN -11.4% (doesn't report Q4 results; announces license bookings of $67 mln; co continues work on the restatement of previously issued financial statements); SCSS -9.5% (in 8-K co says "we are currently on track to achieve the low-end of our full year sales and earnings targets").

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