Thursday, January 17, 2008
Bulls fired back yesterday causing short squeezes in some of the weakest of sectors. This fired off a rally in stocks like KLAC, trapping short positions.
The day truly didn't represent any real buying strength, however, for once the shorts covered, no follow through ensued and prices faded strongly into the close.
If the market does get a bounce here, it is likely to get hit hard with more selling. Support at current levels is thin at best and 2007 lows beckon.