Short Term Trading Member Forum

[techcharter]

Re: Market Mutation

The observer points out an important divergence in the markets. Where I firmly disagree is the conclusion that just because the NASDAQ market goes down, investors will shift money to the NYSE and Dow. When the Naz fell in Y2K, the Dow headed significantly lower.

Diverging stock markets often signal tops forming in all stocks. When significant funding to innovation is cut off, a turn in the overall economy is forthcoming.