Nasdaq Rolling:
Technology has remained resilient and even a brisk mid-day selloff of more than 200 handles Monday was not enough to deter this ongoing, impressive rally. Could it end tomorrow? Of course, but one must be exasperated if they have been trying to get short the market anytime since the 4/7 bottom. Below is the daily chart of the Nasdaq as it approaches the very round 20000 number, a level that gave the benchmark headaches in late 2024 and early 2025 as seen here on the WEEKLY chart. The semiconductors have come back to life as the WEEKLY SMH chart nears a double bottom trigger of 269.76 in a one-year base, and the SMH has advanced 9 of the last 11 weeks, albeit last week did record a doji candle after a handle run (and the week before was a bearish shooting star). Monday software via the IGV successfully retested a double bottom with handle pivot of 105.71. So when the semis and software are acting well technically it is hard to get too bearish. Among the big components to watch in the index MSFT and NVDA look fine, with the former touching all-time highs. If AAPL, the worst of the top 3 by far now 22% off its most recent 52-week highs, can break ABOVE 203 in a bearish head and shoulders that could give the Nasdaq a lift, especially if MSFT and NVDA need a chance to catch their breath.