Trader Mike

We had some pretty good selling early this morning but there was no follow-through later in the session. I’m sure that oil’s early strength and subsequent failure has something to do with that. There was a bit of technical damage done to the Nasdaq and Russel but that damage occurred on declining volume.

Charts of the indices are below along with some stocks that I’ll be watching over the next few days, including: Atheros Communications, Inc. (ATHR), CA, Inc. (CA), Lam Research Corp (Nasdaq:LRCX), NetGear, Inc. (NTGR), Google (GOOG) and EchoStar Communications Corp (DISH)…

I hate to add to the bearish consensus but I have to call ‘em like I see ‘em. Right now I’m seeing a lot of charts which look ready to roll over. A good number of them look a lot like the QQQQ chart — a weak bounce back to the 50-day moving average which reminds me of many of the patterns in William O’Neil’s ‘How to Make Money Selling Stocks Short’. For now the opportunities look better to me on the short side.

Below are charts of the indices as well as some of the better (worse?) looking stocks I found in my scans, including LRCX, BRCM, AAPL, MVL, RIMM, CIEN, RACK and GOOG: