Month-to-date, $QQQ is down 5%, $SPY is down 0.7%. Rotation into defensive sectors like healthcare and consumer staples has made the difference. Semis $SMH is down almost 13% in October so far.

A bunch of software stocks are looking very different than semis. Here's $CRM

Select retailers continue to show relative strength. Here's $BBY

Healthcare stocks continue to dominate the 52-week relative-strength list - $LLY $BIIB $AMGN

$SSL - energy and chemical company out of South Africa at new 52wk highs. @MarketSurge #IBDpartner bit.ly/431EbVK

$SMH - semis continue to weigh on the tech sector.

Software is leading the tech sector. New 52wk high for $APPN @MarketSurge #IBDpartner bit.ly/431EbVK

$GOOGL is back below its 200dma while its relative strength line continues to decline.

$IGV - Notable relative strength in software compared to semis and the rest of tech all week so far. It could still turn into a bear flag if it goes under its 50dma again.

Healthcare stocks are dominating the new 52-week relative-strength high list: $HTFL $LLY $BIIB @MarketSurge #IBDpartner bit.ly/431EbVK

No idea where the indexes are heading. Earnings will likely be strong again, so I doubt we will see a 2018 repetition. A choppy, volatile environment for a few weeks is the most likely.

One big difference between the October 1999 pullback and October 2026 is that back then there were leaders that just tested their 20EMA during that 10% index correction. The leaders held their ground. Here's QCOM

Here's October 2018 price action in the Nasdaq Composite as a counteraction. A quick break of the 50dma led to a test of 200dma and a downtrend for the rest of the year.

Probably 0% chance of repeating or even rhyming, but just for historical reference, the Nasdaq Composite had a quick 10% pullback in October 1999, then an inside day followed by a gap up back above 50dma, slight consolidation and then off to the races.

$SMH is working on a tight-range inside day. I wouldn't be surprised if it tests its 50dma before hitting more resistance.

Stocks making new 52-week relative strength highs this morning: retailers, biotech, energy. $ANF $TBBB $BOX $DINO $FTRE etc.

$AMZN is back above its 50dma. Here's a weekly perspective. @MarketSurge #IBDpartner bit.ly/431EbVK

Momentum Monday - Correction in AI Stocks: ivanhoff.com/2026/10/18/corr… @MarketSurge @howardlindzon $SMH $QQQ $XBI $XLE $XRT

The early-October new all-time high looks like a false breakout. $QQQ might be headed for a 200dma test around 675.

The breakouts in retailers this week are highly suspect with crude oil approaching new 52-week highs. $USO