It seems that the distribution phase in the NQ is starting to slow down. Is it gone completely? Not really. Institutions are still selling tech shares.
Take a peek at the Russell 2000. It's been making way more gains than the NQ proportionate since July 14th. Russell just made a new rally high.
This is what distribution is all about. Sell the most bloated sector and transfer the settled cash to undervalued sectors that are vital to any economy like financials and transportation.
Overall, equities are pretty boring compared to what's going on in commodities and crypto. NQ is in an ascending wedge too. Like I said before, NQ might make a new high, but nothing spectacular. It's why I was saying back in July 20th is forget the NQ for now and focus on RTY or non-tech sectors... or commodities. They got the biggest gains since.
Take a peek at the Russell 2000. It's been making way more gains than the NQ proportionate since July 14th. Russell just made a new rally high.
This is what distribution is all about. Sell the most bloated sector and transfer the settled cash to undervalued sectors that are vital to any economy like financials and transportation.
Overall, equities are pretty boring compared to what's going on in commodities and crypto. NQ is in an ascending wedge too. Like I said before, NQ might make a new high, but nothing spectacular. It's why I was saying back in July 20th is forget the NQ for now and focus on RTY or non-tech sectors... or commodities. They got the biggest gains since.