Watch the Nasdaq for a Bullish Clue

The tech-heavy index will signal the Street's next upward move, says Loring Hedge Fund's Pat O'Neil, who likes Symantec and Microsoft

A short-term pause in a bull market -- that's how Pat O'Neil, manager of the Loring Hedge Fund and president of Loring Investment, sees the state of stocks today. He expects the market to resume its push upward. O'Neil suggests watching volume on the Nasdaq for a clue to the next move and says he would like to see that volume at 2 billion shares in a day, with a 2% climb in the index. At the moment, he's 35% in cash but is watching his current favorite sectors -- wireless telecom and Internet security -- and looking for the best stocks there to ride up. He likes to buy when it looks as if the market will be going up in the next two or three months.

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