For the second day in a row the broader market started off higher but came under significant selling pressure by mid afternoon. Yesterday it was the Russell 2000 and it’s first test of the 200 day moving average that saw equities reverse higher into the close. Today it was the Nasdaq composite that got very close to it’s 200 day before finding support and reversing higher into the close.
There was also confluence as the February low was in the vicinity and was briefly taken out to the downside before reversing higher. Time will tell if that brief penetration below an important swing low was enough to entice buyers to come back into these tech names that have been under a lot of pressure.
