A Picture Of Health

You've got to keep your eyes on these big-cap Naz stocks due to their heavy influence on the movement of the index. In fact, I find them almost as useful as indicators. So it's good idea to keep five-minute charts of Intel (INTC | Quote | Chart | News | PowerRating), Sun Microsystems (SUNW | Quote | Chart | News | PowerRating), Cisco (CSCO | Quote | Chart | News | PowerRating) and Oracle (ORCL | Quote | Chart | News | PowerRating) somewhere on your monitor.

Identify the major support and resistance. Be aware when those levels are broken and whether follow-through ensues. Momentum coming into such moves will have a big influence on the Nasdaq. Friday's break of INTC's October lows on big volume suggests downward momentum continuing on Monday.

On a happier note, Universal Health Services (USH | Quote | Chart | News | PowerRating) is plugging away at new highs.

Here we will see the classic uptrends we came to associate with semis and biotechs early last spring. You have the series of trading-range breakouts along a nine-month trendline. 

Yes, you can still find these if you do your homework every night. Remember, no TV until you get it done!

Have a nice weekend,

Eddie