Serge Berger suggests buying the Nadaq 100, as he expects new highs; with large-cap tech stocks continuing to perform well relative to other big companies.  

     

The Nasdaq 100 is showing relative strength against other indices and corrected 3.8% from peak to trough after a dip in early August. While the S&P fell around 4%, the Dow fell about 5% and Russell fell by just over 8%. 

Apple is 13.2% of the index and Microsoft just over 8% of the index so the index is reliant on these two tech giants. 

Serge predicts a higher high and suggests the following trade: 

Buy: 4000 

Target: 4060 

Stop: 3960