Tech Gaining Strength Again (SAP)

by | Nov 9, 2023

August and September were not good for stocks.

And those months really weren’t good for tech.

As we’ve mentioned, the Magnificent 7 took a beating when autumn started, and so did other tech-ish companies. 

However, that has changed recently.

Tech and software has suddenly rebounded, and an example of that is SAP.

It’s in one of the top 40 best-performing sectors (out of 197), and it’s moving.

September was bad for SAP (no surprise), but it has bounced off of our 30-week simple moving average and appears to be sprinting toward a new high, just like MSFT (which we talked about in our last post).

If it moves above $145.10, we could see a new high and possibly much more.

We’ll keep it on our radar.

Happy trading,

— Scott Welsh

P.S. As a reminder, these plays are based on my longer-term Weinstein Stage Analysis method. The chart above uses weekly candles and a 30 week simple moving average. For details on this method, see my explanation on this Ask The Pros episode starting at timestamp 20:45.

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