Market Summary 15th August

August kicked off with a noticeable 5% dip in the QQQ. However, a respite was observed, likely due to the $ARK Innovation ETF(ARKK.US)$ ETF's continuous downfall in the last nine sessions, leading to a significant 17% drop this month. Such sharp declines are expected after robust growth periods, but it's concerning when they coincide with a trend switch to net lows. Even with today's market uplift, there was a rise in net lows for the Nasdaq and a debut in net lows for the NYSE. Such a trend isn't characteristic of genuine rally days.

On closer inspection, today seemed to center around brief market rotations. Previously strong performers like $MercadoLibre(MELI.US)$, $Axon Enterprise(AXON.US)$, and commodity stocks $Noble(NE.US)$ and $Weatherford International(WFRD.US)$ experienced a downturn. In contrast, tech stocks that had been struggling recently, such as $Global-E Online(GLBE.US)$, $MPower Group Ltd(MPR.AU)$, and $Advanced Micro Devices(AMD.US)$, saw an uptick. Notably, the day's volume was the lowest since the Nasdaq composite's peak in late July. The day's positive trend was marked by large price movement ranges, complicating the process of pinpointing favorable low-risk entry points.