What are the implications of the recent selling of the Magnificent 7 for markets? Where could potential new opportunities arise?

The market continues to be concerned about the same factors including war, inflation, recession, and interest rates/yields. In Monday’s article, it was mentioned that the earnings reports of some of the M7 stocks would have a significant impact on the market, and the reports have confirmed slower earnings growth and tepid guidance. Alphabet Inc. (GOOGL), Meta Platforms, Inc. (META), and Microsoft Corporation (MSFT) have all seen declines in their stock prices. Amazon.Com, Inc. (AMZN) has just reported its earnings, and while there was an initial increase in the stock price, it doesn’t appear to be strong. Out of the Magnificent 7 stocks, only AAPL and NVIDIA Corporation (NVDA) are yet to announce, but all 7 stocks have significantly dropped from their highs. The indexes have started to break down, creating opportunities for selling. The charts of these stocks show their decline and potential support levels. Despite the negative outlook for the Magnificent 7 stocks, there is a possibility of finding a market bottom once the leaders have been sold off. The charts of SPDR S&P 500 (SPY), Invesco QQQ Trust, Series 1 (QQQ), iShares Russell 2000 ETF (IWM), SPDR Dow Jones Industrial Average ETF (DIA), iShares 20+ Year Treasury Bond ETF (TLT), and DXY The Dollar are also analyzed to determine potential support levels. It’s important to note that the opinions presented in this article are not financial advice and readers should consult with their financial advisors before making any investment decisions.