Tech Resilience Or Mirage?
Don’t look now, but technology may be trying to make a stand. Below is a very nascent move, with a look at the last one-week performance of all 11 major S&P sectors. Technology is back in the top spot of the leaderboard, yet still the worst performer on a YTD basis (interestingly the worst behaved group is energy over the last one week, and we know the XLE is still by far the best of the bunch up 39%). Now in yesterday tech note I said it would be a good feat if the tech group could just maintain a sideways stance from where it sits today. Could the space be ready for takeoff here, or is it just another strong reversal higher akin to what we saw last Tuesday that went nowhere afterwards. No one knows, and I do not trade the indexes for those thinking I am playing both sides here. I get involved with individual names that show good risk/reward scenarios. Software over the last one week period could be a place to hunt for longs. Names that have put up double digit returns over the last week include FOUR UBER AI and NTNX.