Thursday, October 25, 2007

Technicals deteriorate

The Qs deteriorated today, retreating back to the lower leg of the 30 day linear regression channel. The Qs have been in a lateral channel for the past 15 days on building volume. the break will probably be dramatic (maybe earnings driven?). The other major indices have already broken through the lower leg of the channel and look poised to continue down. If the Qs do follow suit and break through today's low (52.75) , the next support level looks like 50, a long way off theoretically, but if we get a redux of Aug, 16th action . . completely possible. Afterhours MSFT is up $3.12 on good earnings. That may pull us back to midstream tomorrow.
On a side note I got down on my kness and thanked my lucky stars I didn't scratch the itch on Monday that told me to buy Wellcare, WCG. Ooouch!

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