Markets were firmly lower to begin the week Monday but responded nicely with the Nasdaq CLOSING in the green higher by .2%. It recorded a nice reversal almost precisely at its rising 50 day SMA, but the index still has some work to do the repair its image after the ugly bearish engulfing candle last Tuesday. That being said today was a very good start. The S&P 500 also bounced off its 50 day SMA and typically you want to see volume ease up as it tests that widely followed line, but we know nothing aligns just right and if it does it will probably do the exact opposite. The Dow fell slightly and is still on an 8 session losing streak but did rally nearly 150 handles off intraday lows, which is not that significant given that it trades north of 20000. But price action is omnipotent and is how investors are ultimately judged and for that reason decisions should be made primarily based upon it. The Russell CLOSED green today and recorded its second bullish hammer candle in the last 4 sessions and it is still early but a potential double bottom formation is taking shape, but one should wait for a penetration to the upside before entering in my opinion. Sectors that impressed the most Monday were legitimate with healthcare, materials and technology leading the way. Within technology semiconductors have been a stalwart and one would be wise to give them capital and below is a name setting up not widely followed. Here is how VECO was profiled in our Tuesday 3/21 Game Plan. The round number theory also comes into play here.

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