Is The Fall Dip Over For Tech?

September was rough for many investors, as typically for the Nasdaq and the S&P 500 (ARCA: SPY). The S&P and Nasdaq 100 were down about 5 percent in September. Now that the historically red month is over, we decided to look at the daily chart of the Nasdaq futures to look at the intermediate term. 

On August 18th, tech futures fell to 14,600 and rallied about 1,000 points higher. After seeing that, we figured that would be a level to look out for if we ever got back there, and on September 27th, we did exactly that, almost to the penny, and bounced. At the time of this article, we are around 14,900, which is already 300 points off the low, which is a signal that, so far, the support has been respected. Can we hold this level to start the fourth quarter rally that so many people discuss? Only time will tell. Either way, our team will be watching that 14,600 level, and if it holds over the next week or two, our faith in the technology sector will increase. 

Google (NASDAQ: GOOG) and Nvidia (NASDAQ: NVDA) are two other technology stocks with similar support levels. The Google support level we watch daily is 127, and there is a 410 area of support for Nvidia. 

Let us know what you think about these support levels in tech and if you guys have other tech names you like for the potential end-of-the-year rally. If you are on Twitter, now known as “X,” feel free to follow @ThrashCapital for more content!