Ah, the fun of earnings season begins. Today was a strange day in that most of the movement happened in extended hours trading. We had a gap down in the morning (supposedly) due to rising oil prices, weak overseas markets and jitters about upcoming earning reports. The intraday action was choppy and stayed in a pretty narrow range. But the real action came after hours when Intel and Yahoo reported their earnings.

As you can see from the charts below it wasn’t pretty after-hours tonight. Intel, for its part, is back below its 200-day moving average and testing its November lows. (Yes, I’ll still take AMD over INTC.) About the only positive thing I can say is that the market is approaching oversold territory. The QQQQ ended the after-hours session right around the December highs at 42.23. The next support level I see is at 42. We’ll see if either level can hold tomorrow.