Market Analysis for Jul 20th, 2005
Since last eve's spike new high at 39.25, the Q's have tested and
held 38.90 twice, and just this hour, rallied up to 39.19 before
stalling and pulling back a touch to 39.10. What does that tell
us? That unless 38.90 breaks, the bulls remain very much
in control of market direction, and that the pattern that is
emerging during the past several hours represents
another high-level, consolidation-rest period ahead of
a thrust to the upside towards higher targets near 40.00.
Although the overall hourly technical picture argues
against a sustained pop to new highs in the next
hour or two, inability of the bears to press the Q's
below 38.90 increases the likelihood of a last
hour short covering rally ahead of eBay's earnings
due after tonight's close.
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