Client Portal

A rather unusual day for risk assets, as all 11 sectors are down on the day. yet big-cap Technology strength is helping XLK-2.38%  rise by +0.85% as AAPL-2.22%  breaks out above its $200 level that's held since last July. Other leading stocks within Technology include ANET-1.01% , CDNS-1.23% , NTAP-1.53%  and FSLR-0.99% . Two charts of AAPL shown below, daily and weekly. While the short-term momentum is getting stretched, the counter-trend exhaustion indicators remain early to show exhaustion by around a week and a breakout back to new all-time highs for AAPL is certainly important structurally and a larger positive for SPX and QQQ given its size

ANET-1.01%  break of two-week support at $284 was a minor technical negative and has resulted in weakness down to levels near mid-March lows (~263) over the last couple trading days. This doesn't look to be a development that would lead to a major correction, but does represent the biggest technical break since ANET-1.01%  bottomed last October. Until ANET can regain $290, it's possible that a bit more deterioration might occur which could result in this testing the bottom of its Ichimoku cloud near $259 with a little maximum pullback to test February 2024 lows at $253.08. Overall, unless February lows near $253.08 are violated, i don't see this recent technical damage as being all that significant and should eventually lead back to new highs. However, in the short run, the breakdown happened on heavy volume and might require a bit more near-term consolidation before a push back to new highs can occur.

ANET-1.01%  break of two-week support at $284 was a minor technical negative and has resulted in weakness down to levels near mid-March lows (~263) over the last couple trading days. This doesn't look to be a development that would lead to a major correction, but does represent the biggest technical break since ANET-1.01%  bottomed last October. Until ANET can regain $290, it's possible that a bit more deterioration might occur which could result in this testing the bottom of its Ichimoku cloud near $259 with a little maximum pullback to test February 2024 lows at $253.08. Overall, unless February lows near $253.08 are violated, i don't see this recent technical damage as being all that significant and should eventually lead back to new highs. However, in the short run, the breakdown happened on heavy volume and might require a bit more near-term consolidation before a push back to new highs can occur.