The Nasdaq Composite is nearing a confluence of several
technical factors. We see initial
resistance at the 200-day
moving average (1995). The downtrend line from the December
highs is at 1996. Further, the Nazz has
retraced 50% of the losses from the March highs to the recent lows, near 1,995.
Nasdaq – 6 Month Chart
click for larger chart
Panzner, Rabo Securities
The 2,000 resistance level also offers psychological
resistance, and is the bottom of the prior trading range’s support (now
resistance). The Odds favor a short-term pullback.
Quote of the Day
"In the stock market those who expect history to repeat
itself exactly are doomed to failure."