5 Months After

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Has the plunge in 10 year yields in tandem with a scramble into big cap tech been a flight to safety?

While many market participants may have assumed that lower rates would backstop a continued rise into tech growth glamours, that may have been part of the sedated, systematic, algorithmic trade… which, if unwound, this knee jerk could kick the stuffing out of stocks.

What if the recent rebound into big tech marks a secondary top with AAPL, for example, double topping?

This would be in keeping with the secondary top in late August 2000, five months following the primary high in March that year — mirroring a possible secondary top in tech five months after the February 2021 spike high.

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