Technical Analysis: Nasdaq Hangs On
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The Nasdaq (see first chart below) is hanging to its uptrend by a thread; a close below 1490 tomorrow would be a negative. 1500, 1521, and 1500-1534 are resistance. The Nasdaq 100 (second chart below) did not undercut yesterday's low and finished up on the day, a positive divergence despite weakness in Cisco and Microsoft. The equity put-call ratio remains high, with a third straight day of .85 or higher. With a holiday weekend coming up, a pre-holiday rally could be in the cards. Jobless claims on Thursday have been a negative lately, and the tape feels heavy here, so up is not a given for tomorrow. The Dow (third chart) remains below 8522-8530, and 8550 is also tough resistance, with 8650 above that. 8416 is first support, and 8330-8350 is critical. The S&P (fourth chart) has support at 912, 907, 900, 895 and 892, and resistance is 927 and 935-940. Finally, on Hewlett-Packard (fifth chart), where have we seen today's candle before?
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