10:50 a.m Volume is looking good today. Most trend reversals are presaged by a volume expansion. Ideal for the bearish case would be a big volume day and a small price movement.
12:30 a.m. The put call ratio is at ~1.15. Quite a few expecting a correction. Look at INTC, looks like it has recharged its energy.
2:30 P.M The strength in INTC is telling. We believe a breakout to a new recovery high is in the cards for this name over the next week or so.
2:50 P.M INTC looks destined to break its long term resistance line from the Oct 2007 highs - the bear market trendline. Meanwhile the put call ratio is still hovering around 1.1. This is not forebode well for the bears.
4.06 P.M Another day, another green candle. The put-call ratio is at 1.04. $CPCI closed at 1.9.
Today smells, feels, looks like consolidation. There is a big move coming one way or another in the next couple of days. As of now, we are guessing to the upside, following INTC's lead. Look at SMH, these are the leaders of the NASDAQ. SMH's formation doesn't look like a top.
- The upside hook is missing.
- The indicative high volume day is missing.
- No long tails above either -- look at the the previous Aug 7th top.
The weekly chart of GS looks like a bull flag for another blast up into the 175 area.
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