Here’s A Market Observation Worth Noting

President & CEO Chief Market Strategist at IntheMoneyStocks.com • Jan 13, 2021 at 4:46 PM EST

While the charts of Microsoft Corp and Apple Inc are still holding up well they have not made new highs with the Nasdaq Composite and Nasdaq-100 recently. The tech giants still remain below their September 2020 highs.

The market speaks to us in a variety of ways. As a trader, it is important to look at the charts and see the different reactions in the leading stocks and sectors. Obviously, big-cap technology was one of the best-performing industry groups in 2020. The two largest market cap stocks in that group are Microsoft Corp (MSFT) and Apple Inc (AAPL). While the charts of these behemoth stocks are still holding up well they have not made new highs with the Nasdaq Composite and Nasdaq-100 recently. The tech giants still remain below their September 2020 highs. Perhaps this is not important for the market going forward, but I always want to know when the leadership is changing or even failing. Right now, this is something that traders should be watching closely.

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