Sep 18

Unfinished Business to the Upside?

by Mike Paulenoff, Mon September 18th, 2006

Three and a half hours after the opening bell, and the Nasdaq 100 Index Tracking Stock (QQQQ) remains stubbornly suspended right near Friday's highs amidst a very quiet market that exhibits no selling pressure (and not much more buying power). Nonetheless, after six consecutive up-days, the Qs act as though they have unfinished business on the upside.

Right now, my hourly work points to a pop above Friday's high at 40.45 into marginal new high territory at 40.55/60 prior to the next likely area to expect a downside pivot reversal and initiation of a corrective period. At this juncture, a decline that breaks 40.00 is needed to trigger downside follow-through to 39.20/00 initially.

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Mike Paulenoff is author of www.MPTrader.com, a real-time diary of his technical analysis & trade alerts on ETFs for precious metals, energy, currencies, and an array of equity indices and sectors, including international markets, plus key ETF component stocks in sectors like technology, mining, and banking. Sign up for a Free 15-day Trial!