US Tech Stocks See Largest 5-Week Inflow in History: Can Nasdaq Break Its Downtrend?

US tech stocks are seeing a powerful sentiment and flow reversal, with tech funds recording the largest five-week inflow in history and roughly $19 billion entering the sector in the latest week. Deutsche Bank argues the rotation into hyperscalers is still in its early stages, while positioning remains supportive because many discretionary investors are still underweight. On the chart, the Nasdaq Composite has risen for three straight sessions, rebounded from support near 24,707, and is now testing a descending trendline from its June record high of 27,190. A breakout above the 26,000-26,400 resistance zone could reopen the path toward the prior high, but rejection would raise the risk of another decline. Overall, the article is bullish on near-term tech momentum, though it emphasizes that key resistance has not yet been broken.