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Stock futures post gains

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Stock futures are higher this morning as S&P futures are bid up 8 points to 1,082. NASDAQ futures are higher by 30 points to 1,280 and Dow futures are up 45 points to 9,165. Fair value for the S&P 500 today is $2.80. HL Camp & Company has their computers set for program buying at $4.03 and set for program selling at $1.17.

Dell Computer reaffirms guidance

Dell Computer (NASDAQ:DELL) reaffirmed that it expects to meet analysts estimates for the current quarter. Dell said it believes earnings will come in at 15-16 cents a share and that revenue is seen at $7.2-$7.6 billion. Dell executives are scheduled to meet with analysts later today. Yesterday, shares of Dell finished the trading session at $20.64 and are seeing action at the $22.50 level in pre-market trading.

Cisco adds gains in pre-market

Cisco Systems (NASDAQ:CSCO) is adding to yesterday's impressive move higher here at $14.20 in pre-market trading. Yesterday, shares of Cisco jumped $2.47 or 21% of CEO John Chambers told an investor conference the he was "very comfortable" with first- quarter estimates. A survey of analysts by Thomson Financial/First Call expects Cisco to earn 2 cents a share (excluding charges and acquisition costs). Revenue is expected to be $4.16 billion. Cisco is expected to report earning on or near November 5th.

Cisco Systems Chart - last ten months

The $15.60 level looks achievable on shares of Cisco Systems (CSCO), but a nasty downward trend and rolling 50-day moving average will most likely provide levels of resistance. Should Cisco be able to get through those levels (on good volume) then bulls may be targeting the $19.50. Traders looking to establish positions in this networking giant may want to have a stop just under the $13 level or back below our 61.8% retracement of $10.75.

Jeff Bailey
Senior Market Technician

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