With the equity market failing to hold the opening gains, the market turned sharply lower, and the momo stocks saw yet another smack down. Amazon (AMZN), Netflix (NFLX), and Tesla (TSLA) closed significantly lower by -3.2%, -4.9%, and -5.9% respectively.
*I could add many other momo charts - such as FB & TWTR , but the above 3 are a fair spread that highlight the ongoing train wreck that used to be the 'momentum' sector.
We are seeing some VERY significant breaks, all are below the 50 day MA, but we're now seeing the 200 day MA violated - namely, AMZN.
If the main market breaks <1850 next week, momo chasing bulls will have a major problem. As it is, I don't think we'll see a major correction in the broader market until late April/early May.