QQQ

Now the gap has been filled. QQQ is back at the 36 supoort level. Breaking down from here leads to the retest of the 34 support once again. Earnings, interest rate and the ongoing war are interplaying in the market, it’s hard to know where the market will go.

SUNW filled the huge gap and it’s on its way to 4.0!

Option Pinning …

Option strike price sometimes has interesting effect on the market during option expiration week. Looking at MSFT chart, we can see it slides towards 25. Based on the option trading volume data at Yahoo, there were 10,791 contracts (Apr04 25 Call) changing hands with 79,265 still outstanding, the heavest traded strike today. For premium sellers, it’s to their advantages to let the contract expire worthless, which means in this case that MSFT has to go below or at 25 to let Apr04 25 call contracts expire worthless. I have a small long position where I had sold some at 0.95-1.05 earlier and hold some until today I sold them at 0.7.

LU

LU is on the rebound. It’s forming a classical cup shape pattern. If it breaks out 5 with high volume, it will start a new phase of uptrend.

LFC out of trouble?

LFC gapped up after it’s cleared from the liabilities of the audit issues in the past. It has broken out the recent downtrend. Whether it can reverse the downtrend remains to be seen. This big gap could become the new support. Next resistence is 28.