According to JPMorgan's Market Intel desk, yesterday, felt like the first signs of panic in this sell-off that enters its third week. Mag7 entered a bear market with the index down 20.3% from all-time highs set in December. The SOX Index is 19.5% below its January highs and ARKK is -28.6% from its ATH set in Feb. Momentum is down 14% from its Feb highs, in line with previous unwinds, and has had the worst start to a year since the global financial crisis.
Given the magnitude of moves yesterday, JPM says that a bounce is increasingly likely and is likely a tradeable bounce, particularly among top MTD underperformers (Tech, High Short Interest basket).
