Pondering The Oversold Bounce

Good morning. It's options expiration Friday and premarket futures indicate a positive bias following good news from Dell (DELL) and Advanced Micro Devices (AMD). The Nasdaq has fallen for the past eight trading sessions, making it the longest losing streak since September 1994. That statistic alone will inspire the bulls to show some faith that a bounce awaits and/or at least cause some eager short-sellers to book some easy profits.

While the bulls and bears ponder what to do after the next oversold bounce occurs, traders will likely focus on riding the volatility in both directions. I'm in that same group which is why I'm open to the possibility of trading today, though I'm still very inclined to sit this one out. So far premarket trading is typical of an options expiration Friday, which is to say not very awe inspiring. Premarket gainers include BRCD, MRVL, FMCN, DELL, SMSI, TIE, MATK, PEIX, SHLD, KRY, KONG, BRCM, HANS, BIDU, QCOM, ANF, STXN, CTRN, CTRP, and TTEK. Notable losers include INTC, SFNT, FINL, CORS, ZOLT, MICC, INTC, CPWM, ASEI, RRGB, NXG, XING, CTHR, and ILMN.

I have a busy day planned as I keep one eye on the market and my watchlists the other on today's Q&A with members. Have a great Friday.