"We're seeing some pretty interesting rotation in the early goings in September. We've seen the stocks that have been performing the best in 2019 underperform the most,""We're seeing a lot of mid-cap high beta tech stocks being rotated out of big moves down," he said. "We're even seeing some larger-cap tech, even some of the FANG members, continue to underperform and not break out to new highs.", which tracks the growth- and tech-focused Nasdaq 100.
While the price of the QQQs has made new highs, its relative strength has not confirmed the push higher. Its RSI, a momentum indicator, has made a series of lower highs since the beginning of 2018. He said the ETF's Bollinger Bands, which form a trading range around a moving average, suggest a move back down to around $175 after the QQQ touched the top of that channel.