Selling Consumes Big Tech – Here’s What’s Next

[video_player type=”embed” style=”1″ dimensions=”640×360″ width=”640″ height=”360″ align=”center” margin_top=”0″ margin_bottom=”20″ ipad_color=”black”]PGlmcmFtZSB3aWR0aD0iNjQwIiBoZWlnaHQ9IjM2MCIgc3JjPSJodHRwczovL3d3dy55b3V0dWJlLW5vY29va2llLmNvbS9lbWJlZC9BZUpZWjZFSUdrTT9zaT1ibXZJQjUzYUhZVXBubDlUIiB0aXRsZT0iWW91VHViZSB2aWRlbyBwbGF5ZXIiIGZyYW1lYm9yZGVyPSIwIiBhbGxvdz0iYWNjZWxlcm9tZXRlcjsgYXV0b3BsYXk7IGNsaXBib2FyZC13cml0ZTsgZW5jcnlwdGVkLW1lZGlhOyBneXJvc2NvcGU7IHBpY3R1cmUtaW4tcGljdHVyZTsgd2ViLXNoYXJlIiByZWZlcnJlcnBvbGljeT0ic3RyaWN0LW9yaWdpbi13aGVuLWNyb3NzLW9yaWdpbiIgYWxsb3dmdWxsc2NyZWVuPSIiPjwvaWZyYW1lPg==[/video_player]

That eerie, everywhere-at-once sucking noise you hear when you go outside? That’s the sound of hundreds of billions of dollars in market cap leaving tech stocks.

The selling we’ve seen today has been incredibly concentrated in the tech sector… and therein lies the risk.

On a point-for-point basis, a drop of 541 on the NASDAQ is big, but still shy of that 3% mark. On top of that, we’re looking at a 71-point move to the downside on the S&P 500. Keep it in perspective, though: That’s barely a 1.25% drop.

But, speaking of “eerie,” the S&P 100 advance/decline line is positive at 65/36.

Sounds damn good on the surface, but the thing is, if selling persists, you could see the advance/decline line snap like a twig and then selling starts to spread out in the wider market.

I’ll show you exactly how that works, and a lot more, right now…

More from TheoTrade

Where SPY’s $13 Box Breaks

What Kept Me Out of IGV

Wall Street Upgraded This Stock After It Already Bounced

60% Of The S&P 500 Is Already In A Bear Market

The One-Lane Rule Behind $900 Million Paychecks

You Thought the Rotations Were Over?


Most Recent

Where SPY’s $13 Box Breaks
What Kept Me Out of IGV
Wall Street Upgraded This Stock After It Already Bounced
60% Of The S&P 500 Is Already In A Bear Market
The One-Lane Rule Behind $900 Million Paychecks

Get educational market insights sent right to your inbox.

As Seen In