The SPY tried to confirm the breakout in tech in early trade, but ended up taking out Friday's lows and closing weak with a bearish engulfing bar on the day. Too soon to call it a failed BO.
The QQQ had a nice breakout last week on the heels of strong earnings reports from marquee tech names such as GOOGL, MSFT and AMZN. AAPL earnings out tonight were good, but not stunning judging by the after-hours price action. Weakness today in biotechs weighed on the Qs.
The DIA is lagging.
Small caps are really lagging. The PMO here has a bearish crossover.
The lack of confirmation from the the broader markets could stall and ultimately, reverse the BO in the Qs. Failed breakouts lead to fast moves in the opposite direction. This week could be a game changer. FOMC on Wednesday.