More than 54 million Americans are planning on traveling for Thanksgiving this year.
Judging by the market’s performance on Monday and Tuesday, just as many investors are selling their tech stocks heading into the holiday season…
The Nasdaq Composite collapsed under the weight of intense selling to kick off this holiday-shortened trading week. The tech-heavy index lost more than 3% Monday as eager sellers jettisoned their positions.
As tech continues to lead the market lower, the Nasdaq Composite is now threatening to test its October lows.
The steady erosion of the tech bull has finally crumbled the FAANGs.
Monday’s rout hit these flagship names especially hard. Alphabet (Google) and Apple lost almost 4%. Amazon, Facebook, and Netflix each dropped more than 5% on the day. Every single FAANG stock is now down at least 20% from its highs following Monday’s action.
Before we bury this market meme forever, I can’t help but think back to late 2017 when FAANG hysteria was peaking.
Just one year ago, the Intercontinental Exchange launched the NYSE FANG+ Index futures.
This trading vehicle included the market’s most-hyped tech names, including the four original FANGs (Facebook, Amazon, Netflix, and Google) plus Alibaba, Baidu, Nvidia, Tesla and Twitter.
Now there’s little doubt that market historians will look back on that event as the beginning of the end of the unstoppable mega-cap tech rally.
We’ll have to wait and see if FAANGs can rally again.
Bitcoin’s Last Gasp [Then Crash]
Early last week, one bitcoin fetched more than $6,200.
How quickly the seasons change.
An abrupt crash below $6,000 triggered a wave of selling last week, causing the flagship cryptocurrency to shed almost $1,000 Wednesday afternoon to post new 2018 lows. The double-digit loss was a decisive breakdown — and it’s not over yet.
Bitcoin dropped another $700 to kick off the new trading week. It’s now below $5,000 for the first time since September 2017. The pain continued Tuesday as bitcoin shed another 6% in early trading.
For what it’s worth, $6,000 was clearly the line in the sand for bitcoin for the better part of the past year.
As soon as this level was decisively breached, the floodgates opened…
Why are you still holding?
For Technology Profits Daily,
Chief Technology Expert