Is it time for the Market to Rotate?

They say that market rotation is the life blood of a bull market. We may be at that point.

First we have the SPY hitting the psychological 500 level

Now, we know the SPY is cap weighted and leans heavily in the Mega caps (think MAG 7)

Looking at the monthly chart of technology relative to the SPY itself, we see a chart back to a relative all time high and a place where sellers have entered in the past.

I’m not saying we are going to get a Dot Com style crash (even though it is possible), but it may be time for Giant Sized tech to take a breather.

Mid Cap stocks on the weekly time frame looked primed for a move higher.

Small Caps as well.

I think we should be open to the idea that the market may churn, chop, and frustrate on the cap weighted index level, but could be very healthy under the surface.