The Nasdaq provided leadership during a 36.2% rally from its Oct. 4 low at 2298.89 to its March 27 high at 3134.7.
After Tuesday's slump the Nasdaq is still up 13.1% year to date, but it's down 6.0% since March 27. The weekly and daily charts for the Nasdaq are negative.
Chart Courtesy of Thomson/ReutersThe daily chart for the Nasdaq is negative with daily MOJO (12x3x3 daily slow stochastic) reading declining. The Nasdaq is well below its 50-day simple moving average at 3029. The risk is to its 200-day simple moving average at 2737. My quarter value level was tested at 2911 on Tuesday. My annual value level is 2698 with monthly risky level at 3041. The SOX lagged the Nasdaq with a rally of 23.2% off its Oct. 4 low of 364.44 to its March 27 high at 444.96. The SOX thus lags its May 2, 2011 high at 450.79. The SOX is up 8.2% year to date, but it's down 11.4% from its March 27 high, which is a clear sign of an economic slowdown. Chart Courtesy of Thomson/Reuters The daily chart for the SOX is negative with daily MOJO (12x3x3 daily slow stochastic) reading declining. The SOX is well below its 50-day simple moving average at 420.88. At Tuesday's low the SOX tested its 200-day simple moving average at 387.59.
My Top 5 Tech StocksApple (AAPL), $568.18 -- Apple had a blow-out earnings report then fell from a new all-time high at $644.00 on April 10 to $555.00 on April 24, a spread of 13.8%. Wall Street became more optimistic about Apple after the earnings reports, with a consensus price target at $725. Apple certainly had the earnings report with the loudest drum roll. Apple is rated a Buy according to ValuEngine. My quarterly value level is $548.88 with a monthly pivot at $579.55 and the ValuEngine one-year price target at a conservative $620.54.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV