The Nasdaq 100 looks healthy from a distance. Zoom in, and nearly half its members are bleeding.
Roughly 48% of Nasdaq 100 stocks are currently trading at least 20% below their respective peaks, a threshold that traditionally qualifies as bear market territory for individual names. That’s the highest proportion since March, and it tells a very different story than the index-level performance would suggest.
The few are carrying the many
Broader breadth metrics confirm the picture. Approximately 59% of Nasdaq 100 stocks were trading above their 50-day moving average in early July. Around 65% were above their 200-day moving average. Those numbers sound decent in isolation, but they mask the fact that nearly half the index is sitting in deep drawdowns from their peaks.
Semiconductors are adding to the turbulence
