Whether today marks the end of the tech sector's nascent rally remains to be seen. Ultimately, earnings will recover, and that will begin the process of restoring more reasonable valuations.
Time is the necessary ingredient here.
Then again, the employment report is due tomorrow, and that's going to encourage speculation about what the Federal Reserve might do on March 20, or perhaps even cause it to act before if the report is sufficiently weak. Back in late January, Roque viewed the drug sector as breaking down. He said today that nothing since has altered that view. But I still think rallies are an opportunity to sell. Human We were wrong in our earlier expectation that a countertrend rally would develop late last year as a result of the very oversold conditions that developed at that time.