Skip to main content

What's an investor to do? Today's early recovery from an opening setback obviously was a positive, suggesting to some that perhaps a bottom had been put in place. But investors could not expect bears to give up without another fight, and sure enough, the bears found enough strength to knock the tech sector back into negative territory, putting the onus back on bulls.

In recent trading, the

Nasdaq

was down 38.51, or 1.16%, to 3282.78, off the session high of 3454.70, but above the session low of 3227.04, reached soon after the opening. On its most recent setback, the Nasdaq had not reached Friday's low around 3266, nor the session low of 3227 set early today, allowing for the comeback.

TheStreet.com Internet Sector

index was down 36.54, or 5.12%, at 677.33, and had traded in a range between 669.00 and 738.94.

TheStreet.com New Tech 30

was down 4.16, or 0.97%, to 425.3.

Our own

James Cramer

explains his game plan for dealing with the madness in a recent

piece. But, as an equal-opportunity space, we'll also present the technical side of things. In his pre-market report, Dick Dickson, technical analyst with

Scott & Stringfellow

, wrote that Friday's price action did not have the characteristics of a day of capitulation to indicate that the lows had been made. "All this makes us think that any bounce here will be temporary and serve only as an interruption in the downtrend," he wrote.

But the one thing that would change his mind, Dickson wrote, would be if the Nasdaq rebounded today to around 3500 on volume of over 2.4 billion shares and closed at or near the session high. "If that's the case we would say that Nasdaq had suffered a two-day selling climax, and that prices were indeed headed higher again," he wrote. "Absent that, we think this market has more to go on the downside before finding a bottom."

A couple of factors were at work today. With the market mostly higher early, there was less concern over margin calls. And the recovery also has squeezed some of the shorts anticipating more blood today. However, ongoing fear that the worst is not over was working against the market, along with traders taking advantage of today's earlier recovery to get out of some issues that they couldn't get out of when things got so bad on Friday.

TheStreet Recommends

On to the numbers. Among stocks on the decline were some business-to-business plays.

InfoSpace

(INSP) - Get Inspire Medical Systems, Inc. Report

was down 7 3/16, or 14%, to 41 9/16;

FreeMarkets

(FMKT)

was down 11 1/8, or 20%, to 43 7/16, while

Kana Communications

(KANA)

was off 5 11/16, or 16%, to 28 15/16.

724 Solutions

(SVNX)

was down 11 1/16, or 20%, to 44 1/16. Bucking the trend,

PurchasePro

(PPRO)

was up 5, or 20%, to 30, though it had traded as high as 34.

More traditional plays also were reeling.

Yahoo!

(YHOO)

was down 4 7/16, or 4%, to 111 11/16 after trading as high as 122 15/16.

priceline.com

(PCLN)

was down 4 43/64, or 8%, to 53 7/8 and

CNet

(CNET) - Get ZW Data Action Technologies Inc Report

was down 3 5/16, or 12%, to 24 7/16.

Among other stocks with significant losses,

Internet Capital Group

(ICGE)

was down 3 55/64, or 10%, to 35 1/8;

Check Point Software

(CHKP) - Get Check Point Software Technologies Ltd. Report

was down 17 5/8, or 12%, to 132;

InterNAP Network Services

(INAP) - Get Internap Corp. Report

was down 4 3/4, or 15%, to 27 3/8, while

webMethods

(WEBM)

continued to slide, down 16 7/16, or 26%, to 47 1/2.