Technology Tests Key Breakout Levels
Chris Kimble | Dec 02, 2016 02:51
When it comes to bull-market strength, technology gets the nod as it has been stronger than the S&P 500 since 2002 (see lover right chart below).
This 2-pack shows that tech has the opportunity to jump over key levels.
The Nasdaq 100 is testing highs hit back in 2000 at (1). Did the index last month create a “Doji Star” topping pattern back at 2000 highs at (1)?
At the same time, the Nasdaq is testing breakout levels at (1), the NDX/SPY ratio at (2) is testing the underside of dual resistance levels.
Tech is testing key breakout levels at (1) and (2) at this time. For the broad market to continue to set new upside records, it wants/needs tech to breakout and jump over these key levels.
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