Tech stocks continue to lead the market to the downside, with the Nasdaq declining over 30% from its 2021 high.
Today, we share an update to a ratio chart that we have shown several times (check out our post from February!). It’s the Nasdaq composite to S&P 500 Index performance ratio.
Needless to say, it has been a painful lesson for investors whom ignored this sell signal pattern.
As you can see, the breakdown occurred at (2) and selling accelerated (tech underperformance). This is a similar pattern to the dot-com crash. It doesn’t matter… until it matters! Stay tuned!
Nasdaq Composite to S&P 500 Index Ratio “monthly” Chart
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