We now know that the bottom of this correction has already happened. On Friday our mid-term system was starting to become a little overbought so today's short fall should allow for a larger gain during this buy signal. We believe that the gain on this signal will be neutral to rather small.

QQQQ did break above its recent downtrend line and the 48 resistance area, but there is still a good chance that the ETF will fall down to 47 or 46.70 before the uptrend is resumed. A break of Friday's high will push QQQQ to 49, before a likely short-term pullback.

We believe that SMH has hit its bottom for this correction as well. Current support is in the 37 area, but we would not be surprised to see a fall to the 36.50 area. A break above Friday's high should send SMH to the 38.40 area and its 50 day moving average. A move to to 38.40-38.70 area should create a short-term pullback, before the uptrend is resumed.

IWM is also looking healthy. As long as the ETF is able to stay above the two lower support lines, we can assume that the long-term uptrend has resumed and that the correction is over. Staying above 76 is key right now. A break above 80 will end the consolidation and signal the continuation of the uptrend.

We may have a pullback in the coming days, but the uptrend should remain intact. The correction is over.