6/3 stocks analysis : High-tech selling is don’t worry about that

The nasdaq should restore march several super buy technology stocks, once there is a normal correction

The significant development took place yesterday morning, when China announced a growth target of 7.5%, compared with 8%, and aims at the lowest since 2004. Within minutes, the Dow Jones Industrial Average 94 points, but what proved to be lower on the day.

There were no negative data from europe, also concentrated, but investors instead of the IMS services and factory orders, both above expectations, and the final bell, the Dow and the S & P 500 had more of the losses.

However, other indices, the Nasdaq because of the unusual weakness in Apple (NASDAQ: AAPL) below average, but for no apparent reason. , Google (NASDAQ: GOOG) and Qualcomm (Nasdaq: QCOM) all below: other coaches also a weakness to Intel (Nasdaq INTC) have shown.

In the end, the Dow Jones Industrial Average was 15 points from 12 963 in the S & P 500 fell 5 points to 1,364 and the Nasdaq lost 26 points in 2950th Who was outnumbered by an advanced 1.5-to-1, and the Nasdaq, falling had an advantage of 1.2 to 1 Volume on the New York Stock Exchange amounted to 702 million shares and 434 million shares traded on the Nasdaq.

All the talk yesterday was about how technology stocks led a decline in the Nasdaq. And succumbed to some extent known high-flying, to take profits. But the danger of a correction in the Nasdaq was up, since the index was tough days for nearly two months.

Note that the level of overbought RSI, a clear sign of danger, just before the break of the trendline Nasdaq particularly strong.

On Wednesday, I noticed that the index of the “High Octane” Apple has been driven, and that the pace cannot be maintained by other senior technicians. Yesterday we saw that even Apple cannot continue in such hot, and the stock fell $ 12.02. After a few have bought a normal technical correction is expected to continue the Nasdaq northern route.
 

 
Note that IBM (NYSE: IBM) had a new high yesterday at $ 200.66 up$ 1.85, despite the embargo, as IBM was firmer than normalleaflets for both high and low swings in a very small bullish correction technology. Therefore, the risk of IBM lower and its model is to act easier.
 
Actions that create sharp edges in advance are often subject to violent corrections. This can be an advantage for the professional traders are waiting to buy at deep corrections. However, the investor is better to buy stocks to provide more normal patterns, better performance and less hyperactivity.