This is as tightly defined a channel as we have seen in some time. You can bet traders could draw these lines with their eyes closed. Biotechs and optical networking companies especially. These are the very companies least hampered by interest rates. Admittedly, unlike their former speculative brethren in the Net crowd, many of these companies do have earnings.
Valuations are spectacular.
In our minds, the availability of credit in the general financial markets is rocket fuel for these issues. Any percetion of a slowing economy can only reinforce the race to buy fast growth companies. The unintended consequences of the new economy. It's super Tuesday. You know that.