Widely Observed Sign On Street Shows Tech Shares Are Rising Too Fast

We have seen a classic midday dip in the markets Thursday because certain sectors are absurdly overbought, and the volumes have been thin.
Regardless: a reading of 99.33 on a large index is absurdly overbought.
I have never seen this reading in 20 years, although I am not sure if it is an historic high.
Nasdaq Composite, 2-day intraday with RSI (14) in lower panelSource: FactSetThere’s many other ways you can illustrate the overbought nature of the market.
The Nasdaq is 12 percent below its 200-day moving average, and almost 4 percent above its 50-day moving average.

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