The TML Report, March 20th, 2026 – NASDAQ Lower Lows

Market Overview

The major indexes continue to make lower lows, yet quite a few leading growth stocks have resisted the broader market’s weakness.

I’m not sure I’ve ever seen such an extreme, long-lasting bifurcation between the leadership and the major indexes. Hence, this makes it extremely difficult to hold concentrated positions, especially if they are volatile. Not to mention, “fighting the market” goes against all CAN SLIM logic.

Yet, the question remains. Will leadership broaden and ultimately pull the broader market back to new highs, or will the broader market continue to weaken and ultimately drag leadership down with it? Nobody knows.

For the hardcore CAN SLIM position traders, there’s absolutely nothing wrong with waiting until we see confirmation of a new uptrend before committing capital. However, if you are in tune with the current leadership, making progress, and you know where your stops are, even better.

Regardless, continue updating your watch lists, make sure your alerts are set, and be ready for anything.

Indexes

QQQ

The NASDAQ fell 2.01%, closed near the lows of its range and below its 200-day moving average on Friday as it continued to make lower lows.

SPY

The S&P followed a very similar pattern to the NASDAQ. It also closed near lows of its day after selling off sharply below its 200-day moving average and making lower lows again yet again.

IWM

The Russell 3000 has sold off with the other major indexes over the last few weeks; however, it is still exhibiting the most relative strength in so much as it's the only one still trading above its key 200-day SMA.

DIA

The Dow has been the weakest of the major indexes lately, also making lower lows on Friday, closing near session lows, and finishing below its 200-day moving average for the third day in a row.

Focus List

SNDK

SNDK pulled back with the market on Friday, but found support slightly above the confluence of its prior pivot, gap, and 10-day SMA. Ideally, I'd like to see SNDK hold this area before ultimately moving higher.

MU

MU has formed a similar pattern to SNDK over the last few months, but it is a more volatile name. Currently, it is testing support at the confluence of its 21-day SMA and 23-day EMA. Ideally, I'd like to see MU hold this area before ultimately heading higher.

WDC

WDC pulled back with the market and the other memory stocks on Friday after failing to hold its breakout. Ideally, I'd like to see WDC find support at the confluence of its prior pivot and short-term moving averages before ultimately heading higher.

STX

STX has formed a similar pattern to WDC over the last few months, although it hasn't been as strong. However, it continues to form a constructive base and appears to be setting up to break out to new highs.

LRCX

LRCX has exhibited extreme RS over the last few days and continues to trade constructively above its 21-day SMA as the general market makes lower lows below the 200-day SMA.

NVMI

NVMI blasted up the right side of its most recent consolidation despite a weak general market and looks like it's setting up to break out from here with a little more time.

AEIS

AEIS has completely ignored the weakness in the general market and continues to build out a constructive consolidation above key support, just below new all-time highs.

NBIS

Watching NBIS to see how it handles key support at the confluence of its prior pivot point and short-term moving averages.

POWL

POWL has been trading sideways in a tight range above its 50-day SMA looks like it's getting ready to break out above its declining tops trend line and consolidation pivots marked on the chart below.

YOU

YOU's relative strength line has been making new all-time highs ahead of its price for the last three days, and it looks like it's getting ready to break out of its current short-term consolidation from here, and follow its relative strength line higher.