Not normal behavior for Nasdaq
As highlighted by Sentiment Trader, the market breadth of the Nasdaq 100 is indeed a growing concern. What we are seeing right now is not normal behavior for Nasdaq. The Nasdaq 100 continues to trade at record high after record high.
Many of the stocks included in the index not only lag, but they fall to monthly, quarterly or even annual lows and below their 10-, 50- and 200-day moving averages.
This is not normal behavior for the Nasdaq 100. In fact, it has never happened before to this degree.
There is a possibility that the average stock will catch up with the index, but this is not usually the case. Almost never, in fact. The risk is high in that index.
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