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The selloff in the Nasdaq Composite (COMP:IND) on Wednesday was just the latest move in what looks to be shaping up to be a larger downward reversal as the tech-focused index now trades 7.1% lower over the past two weeks dating back to July 11.
The 3.6% drop in the index on Wednesday pushed the Nasdaq Composite (COMP:IND) below its 50-day moving average for the first time since early May, and the gauge now sits just 3.1% away from falling below its 100-day average and 9.5% away from trading under its longer-term 200-day moving average.
Moreover, Wednesday’s tumble signified the worst single day performance for the index since October 7, 2022 and the worst 10-day decline dating back to December 2002.
The latest move lower was sparked by Mag 7 names Tesla (TSLA) and Alphabet (GOOG) (GOOGL) providing Wall Street with weaker earnings data.
With the Nasdaq (COMP:IND) now under pressure, it has pulled down with it multiple areas of the market including general growth, the info tech sector, and industries such as semiconductors and software. Listed below are some popular exchange-traded funds in each of the above-mentioned areas that may be worth further monitoring.
Nasdaq ETFs: (QQQ), (QQQM), (QLD), (TQQQ), (QID), (SQQQ).
Tech ETFs: (VGT), (XLK), (IYW), (FTEC), (IXN), and (RSPT).
Semiconductor ETFs: (SMH), (SOXX), (SOXL), (FTXL), (XSD), (USD), (PSI), and (SEMI).