NASDAQ Intraday update (COMPQ)

The bottom line is that the NASDAQ is currently just as bullish if not more so than the broader market. However, the chart pattern is tricky and more complex because the chart contains many patterns. Ultimately, the NASDAQ is in a bullish reversal trend in all time frames: the Monthly, weekly, and the daily. You cannot get more bullish than that!

Dow Jones Transportation Average (TRAN)

The TRAN is currently parabolic and is at all time highs, it is at 4567.07. It is currently in a broadening triangle pattern. This is a chaotic pattern-which goes parabolic and creates shock and awe. It doesn't matter if this pattern is a continuation RST (reverse symmetrical triangle) or a reversal RST which is an expanding topping pattern. In this case, the pattern is identical, and all that matters is which ever way it breaks. This time the TRAN chart pattern has broken out to the upside. The TRAN chart may look toppy, however it keeps going higher, because there is no resistance above. (Remember the DAX looked just the TRAN does now this last year and it has rallied 100 points)


Gen-Probe Inc (GPRO) , GRMN, CELG, NBIX

GPRO and GRMN are currently breaking out of ascending triangle patterns. Today they have made new all time highs. Stocks such as GPRO, GRMN, CELG, and NBIX that break out to new all time highs have no over head supply / over head resistance. No one has owned these stocks at these levels before and they are also shorted to the hilt. This consequently creates parabolic up moves. We want to be in the momentum stocks. The only way you get that momentum is to own stocks that no one has owned before at these levels. Since no one is in line to sell the stock, it will exaggerate the stocks move to the North as you can see in GPRO and GRMN.