Chart-in-Focus: This Tech Stock Is Confirming A Trend Reversal

By and large, 2023 has started off for the equities on a stable note. The previous year was by far quite turbulent without any dispute. The technology stocks had a greatly difficult existence in the previous year but this year it has seen a decent start. In fact, NASDAQ has been the best performer among the three key indices. While the broad market S&P 500 index has gained 3.88% on a YTD basis, Dow Jones Industrial Average has stayed flat gaining just 0.72%. However, over the same time frame, the technology bellwether index, NASDAQ Composite has gained 7.25% over the same period.

Many good quality stocks have underperformed the broader markets over the past months. They have relatively underperformed not only the Index they have been a constituent of, but also the broader S&P500 Index. Such stocks have either started to rise now or at least they have thrown strong signs indicating that a bottom may be in place for them. Strong technical signs have emerged on the charts indicating a strong potential for an upward revision of price over the near term in such stocks.  This technology stock is one such example. It shows strong signs of a trend reversal taking shape.