Tech stocks have been leaders once again in 2023 following its broad-based correction into 2022. But, we are not out of the woods just yet.
Today’s chart looks at the Equal Weight Nasdaq 100 ETF and provides an insightful snapshot of the current state of large-cap technology stocks.
As you can see, the rally reached all the way up to the 78% Fibonacci retracement level at (1) before pulling back this month. And the rally has taken the shape of a narrowing rising wedge.
Currently, QQEW is testing its rising support trend line at (2). This looks very important over the near term.
In my humble opinion, what happens here will send a critical message to the broader stock market. Will support hold or fail? Stay tuned.
Which stock should you buy in your very next trade?
AI computing powers are changing the stock market. Investing.com's ProPicks AI includes 6 winning stock portfolios chosen by our advanced AI. In 2024 alone, ProPicks AI identified 2 stocks that surged over 150%, 4 additional stocks that leaped over 30%, and 3 more that climbed over 25%. Which stock will be the next to soar?
Unlock ProPicks AI