Posted by downtowntrader | 4/18/2006 09:52:00 PM | 0 comments »

That was a heck of rally today. I showed the Dow and Nas bouncing off support last night, but I had no idea the bounce would be this strong.

Here is an updated Nasdaq chart.
And Dow Chart.
Both appear to have marked a bottom. My only concern with the near term is that now everyone expects a rally and the markets don't like when everyone is on the same page. However, todays rally was too strong to dismiss as any type of headfake IMO.
It was nice to see semiconductors lead the rally today and I believe if this rally has legs then we will see some profits being taken out of commodities and being put to work in the semiconductors.

With that in mind, here is a chart of MRVL. They have had a healthy correction and appear to have found support and may be breaking the downtrend line.
POWI is another chip stock that appears to be breaking a downtrend.
SNDK looks to be breaking out of a loose reverse head and shoulders pattern.
NETL hit a new 52 week high clearing lots of resistance.
XRTX dipped into the gap and may of filled all it's gonna fill.
IIP is consolidating into another bull flag.
CBG is one of those stocks in a nice boring uptrend. Looks like it is starting another leg up.
NSC may clear it's current base here.
SCHK appears to have cleared a triangle base.

Good Luck,