Don’t get me wrong, tech stocks haven’t gone away. And pockets of tech (new tech) are providing leadership in today’s bull market.
But when you look solely at large cap tech and several big names that we have known, loved, and owned, the picture isn’t so clear.
Several large cap momentum stocks (FAANG) and long-term stable mates have stalled out for many months. I’d call it consolidation.
No, the tech boom isn’t coming to an end… I’m bullish. So the question remains, when will technology stocks (in a broader sense) take off again? Below are several charts and names. This serves as more of a visual post, pushing investors to think about tech and its landscape and some key breakout price levels.
Note that the following MarketSmith charts are built with Investors Business Daily’s product suite.
I am an Investors Business Daily (IBD) partner and promote the use of their products. The entire platform offers a good mix of technical and fundamental data and education.
NASDAQ Composite Chart
Clear breakout resistance line. Bulls want to see a surge in price, volume, and breadth on any breakout attempt.
NASDAQ 100 Chart
Marginal new highs but tightening wedge formation. Stay tuned!
One of many winners is Microsoft (MSFT) – see below. That stock has been on fire.
But the charts that follow give reason for pause as FAANG stocks and other large cap old school tech names are consolidating and/or underperforming: Facebook (FB), Amazon (AMZN), Apple (AAPL), Netflix (NFLX), Google/Alphabet (GOOGL), Intel (INTC), and more.
Twitter: @andrewnyquist
The author may have a position in mentioned securities at the time of publication. 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.