Some trading thoughts 5-23-2006

Not as timely to add to shorts: (although coming back to weak names is a worthwhile consideration). The last 10 days have produce a significant correction amongst market leaders.
S&P continues trading around 200 day mva, as we are reaching oversold territory in various momentum indicators.
Plenty of names reaching a daily buy. Notably the worst performers in the past two weeks might offer the best trading recover. (lead by deep cyclicals).
Put/Call Ratio: (since 5/12/06) Growing number of puts in the market. So fear continues to developed with growing volatility.
5/12/2006
1.27
5/15/2006
1.23
5/16/2006
1.01
5/17/2006
1.52
5/18/2006
1.22
5/19/2006
1.27
5/22/2006
1.21

Names to trade:
Tech trading long: WFR, NVDA and QCOM. -- Strictly trades at this point. (NVDA/WFR)- intermediate-term short candidates have corrected and can provide an upside beta.
Broker long: GS/SCHW: trading recovery/int-term shorts.
Commodity-related: GG/PD.
Not lose perspective: Intermediate-term weakness is not relived from bearish breakdown despite pending oversold bounce.