While over the last several months, as the market has been coming to grips with likelihood of a higher Fed Funds rate and the reality of higher long-term rates, the ETF for the Mag 7 has been improving its technical condition.
On Thursday, MAGS broke out of a multi-month consolidation. The breakout didn’t hit all-time highs, but the pattern is capable of sending the chart much higher than the current all-time high.
Friday’s retracement is not the follow though the bulls would have liked to see, but the technical condition as represented by the MarketGauge’s PRIME Ratings shown in the chart below are as strong as they’ve been since 2025.
Looking Under The Hood of MAGS
All of the Mag 7 have a big part in the AI transformation, but in quite different ways.
Additionally, in the past they have become a popular destination for investors during periods of tightening monetary policy.
The MAGS chart looks strong, however, when you look at look each component individually their charts are very different.
Starting with the numbers...
As you can see from the table above, their trends (Phases) range from bullish to bearish. The PRIME ratings vary widely, and their location relative to their July Calendar Ranges include both above and below.
NVDA
Nvidia spent August consolidating on top of another consolidation zone, and looks like it’s ready to run.
MSFT
2026 was a rough year for MSFT until its latest earnings report recued it. The stock has continued to rally and sits about 10% below its all-time highs.
After gapping down in response to its earnings announcement it held firm at the 50 DMA and climbed back to the July Calendar Range high and the low of the day before it gapped down. If it can clear the calendar range high it will be in good shape to continue higher with it new CEO now at the helm.
META
Meta has been in a strong bearish trend, not only in price but also in other PRIME factors as demonstrated by its bearish PRIME ribbon indicator. Until it demonstrates an ability to hold above the 200-day MA, it’s hard to count on it for upside. On the other hand, it has a strong base below it.
Very bearish until it recovers the July Calendar Range low and the 200-day and clears $400.
PRIME indicators suggest the dip is one to buy if it rallies over $267
It’s compressing between 200-day MA support and Calendar Range Low resistance.
On balance NVDA, MSFT and AAPL look as good as MAGS, TSLA and META are still pretty bearish while AMZN, and GOOGLE could shape up quickly if they rally.
Keep an eye on these old favorites. They’re not going away.
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