📈 Tech Stocks Oversold?

This data tells us the answer.

Tech Stocks Oversold?

It’s clear that we are reaching oversold levels on tech stocks.

Looking at the chart below you can see that we are peaking in terms of the number of tech stocks that are registering as oversold.

Does this mean that we are at a bottom? No. But it is something to keep an eye on as we rarely reach this high of a level.

Let’s now look at some data that helps us understand how tech stocks have moved in the past after reaching this level of oversold:

The important numbers to focus on here is the mean on the various timeframes.

Basically what we see from the data is that typically what happens is we begin to base for a period of time before moving higher.

This is what I am thinking we may be moving into but it’s important to note that we don’t have a ton of data behind this so it is not statistically signficant.

I share more in-depth analysis on where the market is going in this video: