Market did not like earnings yesterday.
Alphabet and Microsoft disappointed yesterday and the market is taking it out on the tech heavy Nasdaq in trading today. That index is down 71 points or 1.44% at the moment.
The 200 day MA is down at 4850.31.
Looking at the chart, there was a gap higher last week, and a gap lower today. Although it leaves an "island" of prices, I don't think the chart formation is an island reversal gap since the high today was not below the gap from last week (i.e. the chart candle today simple fills the gap). Nevertheless, the sharp move lower on the earnings disappointment, has stock traders anxious about the high flyers and that is not good new.
Below is a list of the changes for some of the high flyers:
- Microsoft down -7.5%
- Alphabet down -5.76%
- Facebook down -3.7%
- Amazon is down 2.95%
- Starbucks is down 5.72%
- Netflix is only down -0.21% today after getting hammered earlier in the week (down about 10% this week)
