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5 Tech Stocks on My Radar

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We have mixed markets around the world as we see if regions can find footing after Friday's post-NFP bearish reversal.

Some are asking if we will test the June low in the next 4-6 weeks? Can we break those lows? Or was last Thursday the low? These are all valid questions but we have to take things day-by-day within the context of what we can handle and what time frame we’re on.

SPX futures are +23. If the candle from Friday wants to lead to more downside, then sellers must reject price in the 3954-3969 area. If the buyers want to push back a bit, they must reclaim that area to build a lower area to trade against.

To see the lows of the year, we need to get and stay below 3903 first. So that's the support pivot. The longer we stay below 4018, the higher the probability that happens.

Now let's dig into some important tech names:

META tried to get out of the danger zone on SNAP’s news but strength got sold again into the $167 area. If it breaks and stays below $154-$155 in the days ahead, it would bring out sellers in most risk assets. It needs to bounce fast to get out of the danger zone.

NFLX went from $216 to hit a high of $251+ post-earnings with lots of pivots to play for cash flow. Most sold into strength or used $241 as a stop. $233 is resistance. $218.74 is big support now.

MSFT isn't helping the tape. It broke its ascending channel on 8/19. It made a low of $254 last week. See if that tries to hold. If not, it won't be good for tech. $264ish is resistance.

NVDA was the first big name to make lower lows in a while. It hasn't bounced much since then. Look here for some sentiment clues. The longer it stays below the $143 area, the higher the probability for lower lows. $132.70 is last week's low.

AMD broke its symmetrical triangle to the downside around $96ish. It got hit with NVDA but didn't make new lows on the year. Watch it for sentiment. Does it catch up to the downside or diverge a bit? $78.52 is last week's low. If that breaks this week, it will be bad for tech and sentiment.

Scott Redler Positions Disclosure

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