The Nasdaq Composite Index is on the verge of joining the Dow and S&P 500 in record territory. The first chart below shows the $COMPQ trading at the highest level in a year, and on the verge of clearing last July intra-day peak at 5232. The Nasdaq 100 (which includes the 100 largest non-financial stocks in the Nasdaq market) has already hit a new record, as has Technology SPDR (XLK). The Nasdaq and the technology sector are being led higher by big tech stocks that include Amazon.com, Alphabet (GOOGL), Cisco (CSCO), Facebook (FB) and Intel (INTC). The Nasdaq's biggest stock -- Apple (AAPL) -- has gained 13% since the start of July, has cleared its 200-day average, and is trading at a four-month high. The Nasdaq's second biggest stock is doing even better. The second chart show Microsoft (MSFT) hitting a new record high today to reaffirm its bullish breakout that took place during July. Its relative strength ratio (top of chart) is climbing as well. It's hard not to be positive on the stock market with big technology stocks like that leading it higher. Along with the financials.
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- John
