TECHNICALS-SMH

The NAZ futures are trading a bit lower this morning in spite of the good news from HWP last night and my guess is the bulls and the pull back buyers will show up quickly to give a floor to the market.

The SMH, mentioned back in July, seems to have bottomed and may be a good play in light of HWP and the probable bottom in DELL. Stops can be taken under the low of the last few days and risk to reward looks pretty good as the ETF may be able to make it back over the 35 level. SMH is one of the ETF's that always seems to go lower than you think sensible and higher than you think possible so shoot away.