FWIW I think going short the Qs and long semis could be a nice ST trade here. They have diverged pretty wildly recently. This hasn't be a positive for the Qs historically.
NDX and SOX Divergence
Started by
Cirrus
, Oct 09 2007 01:15 PM
2 replies to this topic
#2
Rogerdodger
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Posted 09 October 2007 - 02:14 PM
The ratio chart below looks like you could see a rally back to the 50dma.
But is this going to be a repeat of early summer '04 which saw the rally fail?
http://stockcharts.c...1877&r=3765.png
But is this going to be a repeat of early summer '04 which saw the rally fail?
http://stockcharts.c...1877&r=3765.png
Edited by Rogerdodger, 09 October 2007 - 02:15 PM.
"Nature's Failure to Function in a 'Predictable Way'... 500 years ago?"
BIGGEST SCIENCE SCANDAL EVER...Official records systematically 'adjusted'.
BIGGEST SCIENCE SCANDAL EVER...Official records systematically 'adjusted'.
#3
Cirrus
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Posted 09 October 2007 - 03:11 PM
I think buying calls on stocks like NVLS, KLAC, AMAT and LRCX prior to earnings may be a nice gamble. Bad news may be priced in. I think NVLS reports first so it may pay to buy calls on KLAC/LRCX after seeing the reaction to NVLS.
