With Technology under so much pressure, and earnings season well under way, the path ahead looks pretty unclear. Companies such as Intel (INTC) and Apple (AAPL) have blown out earnings, but guidance moving ahead has shun investors away.
Taking a look as the NASDAQ here, you can see how the breakout of last week failed as the index has collapsed back into its base. Now, today the Index has closed right around its 50 Day Moving Average, 50 DMA, but is 3 times a charm? It helf up before, but what about now? My outlook personally is bearish with this current conditions. If the Techs fall apart, then I believe this will be enough to way the rest of the market down, and we will see indexes fall below key support levels such as in this case the 50 DMA. Staying in a strong cash position and playing cautious is the way to go during these times.