We’re still waiting for the market to make up its mind here, with all three indexes perched just above support (see charts below). The Dow and S&P (first two charts) are oversold on stochastics, while the Nasdaq (third chart) has gotten back to the mid-range. The Nasdaq needs to hold 1620 tomorrow; 1598 is next below that. Resistance is 1643-1653. The S&P has support at 973, 969 and 963, and 990-995 is resistance. The Dow has support at 8931-8945 and 8830, and 9050-9110 is resistance. Today’s heavy put buying was the result of two 40,000-put trades, so the equity put-call ratio was otherwise fairly complacent.
Don’t miss the Company of the Week – every week – at http://www.wsrn.com/COW/.
Special report: For a free introduction to technical analysis and chart patterns, visit http://www.internetstockreport.com/guest/article/0,1785,2571_5/00051,00.html.
