The wave trend in tech officially turns bearish on high volume

The Tech Boom seems to be coming to an end.

Tech has been a market leader since the March 2020 lows.

What really is going on?

What’s going on is that technology is extremely vulnerable to inflation. Inflation started to emerge in the financial system in August/September 2020, courtesy of the Fed printing over $3 trillion as the US government invested over $3 trillion in stimulus.

The yield on the 30-Year Treasury started to rise as soon as inflation began to increase in 2021. And that’s when Tech began to plummet.

Now, both the short term wave (Elliott Wave Oscillator) plus the intermediate trend (golden cross) have turned bearish.

Wave = 5 day trimmed mean (70%) – 35 day trimmed mean (70%), Trend = current price – 200 day trimmed mean (70%)

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