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Chart of the Week: Nasdaq Support

Posted By Barry Ritholtz On February 5, 2004 @ 11:07 am In Finance,Media | Comments Disabled

The Nasdaq has pulled back about 140 points over the past 7 sessions – about 6.5%; Looking at near term support, we are about ¾s of the way to the ascending triangle the Nasdaq broke out from in late December.

Nasdaq Support
nasdaq_2.05a.bmp
Source: Gary B. Smith, Real Money [1]

If you want to add or initiate Nasdaq positions, scale in as the index moves towards that breakout point. The retracement towards those level would provide lower risk entry points.

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Quote of the Day
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Article printed from The Big Picture: http://www.ritholtz.com/blog

URL to article: http://www.ritholtz.com/blog/2004/02/chart-of-the-week-nasdaq-support/

URLs in this post:

[1] Real Money: http://www.thestreet.com/p/rmoney/techforumrm/10141779.html

[2] As goes January, so goes the year?: http://cbs.marketwatch.com/news/story.asp?guid=%7B75FE1E98%2D4469%2D48DC%2D94CA%2D784B28D566D0%7D&siteid=mktw

[3] Can we grow out of deficits this big?: http://www.csmonitor.com/2004/0203/p01s01-usec.html

[4] Does Kerry worry Wall Street?: http://money.cnn.com/2004/02/04/news/economy/election_edwards/index.htm

[5] 7 reasons Americans save so little: http://moneycentral.msn.com/content/SavingandDebt/P73539.asp?special=0402save

[6] U.S. Troops Gear Up for Bin Laden: http://www.latimes.com/news/nationworld/world/la-fg-usafghan29jan29,1,2129657.story

[7] The Nonsensical Nine: http://quote.bloomberg.com/apps/news?pid=10000039&sid=acqEekbHDbaM&refer=columnist_dorfman

[8] John Nofsinger, Investment Madness : http://www.amazon.com/exec/obidos/ASIN/0130422002/ref=ase_thebigpictu09-20/002-2267231-0348809

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