Tech Turnaround:

Is it time to start reigniting the old “growth versus value” debate? But this time growth is not the laggard that it had been from late 2021 to the start of 2023. Looking at the chart below of the Nasdaq one can see the gradual rounded-out bottoming pattern is just what bulls want to see. Since mid-September, it essentially traded sideways and it was certainly advantage bears as the digestion was preceded by an obvious downtrend. But time looks like it may have elapsed on them as they had plenty of time to knock this lower but were unable to do so. Skeptics may look to the Nasdaq approaching the overbought 70 RSI number, but let’s see how it acts here as we know there is nothing more bullish than overbought conditions remaining so. Other old bull market adages seem to be in place with the one stating, “you know it’s a bull market when you have to keep paying up to get back in.” Of course, nothing is set in stone but it certainly feels like a trend change is upon us. Respect PRICE action until it is no longer warranted.

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