Are Tech Stocks Following Year 2000 Waterfall Selling Pattern?

Weakness in the technology sector continues to rattle the markets as growth stocks get hit.

Today we take a look at the relative strength (or lack there of) of the Nasdaq Composite by looking at its ratio to the S&P 500 Index.

And, as most of you are aware, we have shared today’s chart before. Our last update was in early February – you can read it here.

So far, what we’ve shared in the past, continues to play out in similar fashion to the 2000 pattern. Whether it’s a repeat or a fractal (rhyme) doesn’t matter.

A pattern is a pattern and this has been calling for caution since support broke. And selling in tech stocks appears to be picking up. Is a “waterfall” in tech stock playing out? Stay tuned!

Nasdaq Composite / S&P 500 Index Ratio Chart

nasdaq weakness waterfall decline forecast chart year 2022

Note that KimbleCharting is offering a 2 week Free trial to See It Market readers. Just send me an email to for details to get set up.

Twitter:  @KimbleCharting

Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.

Sign up for our FREE newsletter
and receive our best trading ideas and research