NASDAQ still nearing end of the mini-correction
Yeah, a 130-point decline for NASDAQ is rather breathtaking, but that was after a two-day rise of about 100 points, so we're really just seeing a tug of war between the bearish and bullish factions of the short-term speculators. I still think that this battle is getting near an end in the sense of a true declining trend, but of course we can't predict exactly how many days it will take to play out. It is rather clear that the battle is primarily technical in nature rather than fundamental – the economy is decent and getting stronger, but technical chartists will insist that certain "tests" and "corrections" are needed before advancing further.
If the bearish speculators do manage to push NASDAQ down to 3,900, then we would have seen a full-blown correction.
Hang in there.
-- Jack Krupansky