I think what weve got is a range. I dont think its anything really terrific, and i dont think its anything bad. One of my favorite technicians, larry williams, who was the dean when i was in diapers, he was doing great stuff, weve been going back and forth about the notion, look, until we get closer to action, hes usually an october 20th buy. I mention because neither one of us thinks theres anything catastrophic ahead but neither one of us is excited if you are excited, if you think we will return to the days when stocks only go up, you will be disappointed, scott. I just think what were seeing with the teslas is emblematic if you get too excited. One of the central questions whether tech has gone down enough relative to how much it ran up i bring that up, you look at the faangs, month to date microsoft down amazon, facebook down 11, 12 and 13 1 2 here is what mike wilson told us from Morgan Stanley thinking tech could have a ways to go before its done all right, well, we dont have that you know what, thats what i was thinking exactly i saw mike and it was a little shiver. Why . Because mike is fabulous i stop and make it louder. What i would say to mike i think were going to try to find levels i thought when apple was down 25 on monday we found that level. I think we can go back to that level. When i worked with stephanie she knows what i feel in these situations, you know what, the despair you get is more of a bottom than a top, right, steph . We cant when we start despairing recognize, wow, its time to sell you made me make levels of stocks that i would buy on declines every single day. Every single day. The first thing i said to you every morning, every day here is the thing. I know youve had faang correct but apple is still up 51 . Amazon still up 65 on the year. Microsoft at 28 im not even talking about the crazy zooms or nvidia. They are up much more. Sure, i think you could see this group be vulnerable. I totally agree with you about feeling kind of blah about the market i think the next couple weeks are kind of like we bounce around we have to wait until we hear from earnings. Earnings start next week they really come into full force on the week of the 12th of october and thats when we hear what companies have to say you have a push pull progress on vaccines, progress on tests, another pmi that was very good. Offset by no idea whats happening with fiscal. No idea whats happening on the election, the Supreme Court nomination all of these things are at force at this point and it will be hard to see a material upside until we get fundamentals and hear what companies have to say. I have the aforementioned mike wilson. Lets listen to that and we can react on the otherside here is mike with us we have to recognize that august was a bit of a blowoff move centered on those Technology Stocks. So thats where the correction has been the harshest. And so if youre going to have more of a correction that would make sense that the damage would be greatest there. So thats the sound, jim, from what wilson was talking about, who suggests you could go back and test the moving average, another 11 to 12 down side potentially on the nasdaq 100. Look, apple did go down 25 intraday that could be a road map steph, i totally hear you about how much theyre up, but i would also argue, so what . I care about where theyre going to not where theyve been, and, frankly, these companies are amazing. They are doing incredible things and as long as we dont have a vaccine they will continue to do great things i am going to do what you said you werent. You said im not going to mention zoom i want to talk about zoom for a second zoom is the way we communicate so i have no idea what price zoom is worth. I do know that there are people who say its worth more than its selling for and that cohort is out there buying i dont know whether its the robinhood cohort i dont know who is paying up 500. I know nvidia felt it was a good level because of the arm deal. We have a have have not and were all trying to figure out how much well sell the haves when in the mine team people are saying please get me out of everything other than stuff that works. Were talking about the stocks that work. The thing is you sold a third of your apple, right this is a stock that has worked. Yes, its pulled back. It maybe needed to pull back yet you sold a third of it well, the nasdaq had gone up 17 in the six weeks before september 2nd. And there was just the idea, i think, and this is what we do in the business, when stocks get expensive or extended and you bought it at 14 times earnings and then its over 30 times earnings maybe thats a good exit point for some of the stock. We were overweight apple if youre equal weight apple, you still own over 5 , 5. 5 is in apple selling a third of that position was not saying we hate the stock. Its just that we took some profit and the same was true of trulia. Weve sold some paypal these were just Great Companies that had getting extended as the market was extended. To what jim and stephanie are talking about, i understand its choppy now and that makes sense for the next month and a half, but if you look at a chart we put together that shows for the year 37 roughly of the s p names are above the index. The last month, thats double, 78 of stocks in the s p are ahead of the average, and it shows that the market has broadened. It shows that we are not just looking at Technology Stocks i know the market has come down lately, but for the quarter its still up 6 . And we need the market to be broader if were going to go higher and find that level of support for the entire market. The danger, joe, of selling things like apple and taking profits in some of these names like paypal or maybe twilio, j j begins the final stage of its vaccine testing. You have the house passing the stopgap funding bill nike knocking it absolutely out of the park with its earnings. And you have jay powell reminding everybody yesterday that the fed is going to do whatever it takes for as long as it takes, and thats the underpinning that bounces off the negative view of where the market could go. What do you do with that well, i think what you do with that information is you understand that with all of that information presented the market is, unfortunately, today still trading a little bit lower i still define the market as vulnerable i tend to agree with what jim said technically i think the price damage for the market has been done i think now its just a matter of the time damage and the risk when you talk about time damage is that something were to present itself into the marketplace thats an unknown that maybe could extend the price decline further. So i still have positioning where im having volatility protection as relates to the vix. Back to technology, scott, i still think, i still believe, that technology is the market. If mike wilson is talking about Technology Visiting the 200 interday, id love to be able to buy apple at 84 or amazon at 24. 5 or microsoft at 182 because thats where the 200day moving average is if we go down there those are the names, the very first names that investors will go and buy jim, that would be another 11 or 12 down or so. You said this morning that the market is still divided by companies that need a vaccine versus companies that dont need a vaccine. I was listening to that conversation so are we back to we need to consider things like the cramer covid index . Yes were entering the fall we have a tick up in cases in a lot of places. We have to buy the companies that what was the real triumph of nike, that it could do this well in a pandemic a lot of analysts didnt think they could have Greater China plus eight they didnt think that north america was going to be anywhere near positive. It was minus two when you look at what nike did was say, you know what, we dont really care about covid. Were going to do the numbers. Suddenly that goes into the buy category whereas, meantime, we have companies that periodically look like that because were going to have a vaccine or they can triumph over it theyre okay i refer, and i dont mean to be too reverential to steph but when she said buy at 10 or 11 that looked like we were going to be coming out of this now its going back down i happen to like dupont. That looks like its going back down some of these stocks karen, behind you is a painting that painting is worth more than some of the robinhood stocks its true. Turn around, there it is i hope so that painting is worth much more than some of the you know what i mean we have a group of stocks that are worth less than that painting and then we have a lo of companies that are like, wow, i didnt know they could do that well in a pandemic and we want to own those and sell the ones we knew would do well, witness General Mills, which i liked i love at 3. 5 field General Mills is back but people dont like it. Pepsico plus three who doesnt want pepsico with that deal down from 147 to 130 i say buy it youre also saying this move we saw into industrials and materials is done. Could be head fake. It feels head fakish not if the data not if the data is coming in better the market pmi today was better than expected. Steph, the problem is but anticipated that, steph im just saying, though, wait a minute, were not rolling hard in the Economic Data no. Were continuing to be better than expected. And maybe you dont want to be in industrials i certainly want to have exposure because i do think the Global Growth story makes a lot of sense, and theyre cheap and theyre underowned the exact opposite of technology thats not to say i dont want to own technology. I do i have been trimming facebook. I trimmed amazon still own a big chunk of it. I want a bar bell at this point. Weve all been trimming im just saying its not just manufacturing i was just going to simply say its not just manufacturing. Look at the housing data thats not slowing in any which way, shape or form look at parts of the consumer. You mentioned haves and havenots. There are absolute winners in the consumer on the haves side you and i could list a dozen right off the top of our head, right . Why is housing we know who is winning and who is not. Why is housing doing well because there are people leaving big cities and buying houses and people who are in these suburban areas who take a look at the amount of appreciation of their home price and putting their house up for sale and saying if i get my number, ill out. Theyll figure something out and move we had that conversation, wait a second, i like my house she said, what does that have to do with it thats right. If you can get your number, a lot of people are looking for a number there are houses in the suburbs for sale all over the place. Its certainly a sign of strength in the Housing Market but not a sign of strength in the economy. Its where we are with the virus. My house is going to lose half its value if we get a vaccine. I have to move i think Interest Rates are playing a huge role. Millennials are playing a huge role you listen to d. R. Horton, to these home Builder Companies that have starter homes as a big percentage of their total revenue and theyre off the charts 16 . K. B. Homes right now, steph lenar was down why not buy k. B. Homes right here you are . I think you can i happen to own and like d. R. Horton much better i like their land light model and i like the fact they do have starter home exposure and i like the management team. Speaking of that my point is its not just yeah. Go ahead, steph i apologize. Sorry i was just going to reiterate its not just manufacturing and industrials that i want to own i want to own other parts of the economy that are cyclical, right. Housing is cyclical. But those stocks are still really cheap and the consumer, again, theres parts that are still very, very strong and i think the Consumer Confidence has stayed quite strong, too remarkably so given all thats going on joe, i dont want to gloss over what nike delivered do you want to you own nike do you want to buy nikki up 10 today . Yep yeah, i do absolutely i was asked that question about owning nike when it was 100 and 105 people challenged myself and stephanie on the ownership Digital Sales are the key. They talked about Digital Sales being a third of overall revenue within three years now youre talking over 50 Digital Sales. Its clearly astronomical what nike has been able to do its as compelling of an Earnings Report as youre going to be able to find and, you know what, theres an esg element to nike. Everyone that i talk to in terms of esg funds, they all talk about technology and apple and amazon and microsoft, and then they say here comes home depot here comes visa and here comes nike if you add that esg element to it, very easy to see how nike trades at 150 to 155 jim, do you want to buy nike . I think nike is still too cheap. It shouldnt have been where it was. It shouldnt have been at 113 the day before people got fake out. Its a classic you dont need a vaccine story for them to do well. The guidance is really terrific. All i want to go back to is i see a lot i like in the market i dont need to focus on buying amazon when i can look at a pepsico at 3 . Look at General Mills. I want some income here, guys. Nothing has changed with the bond market. Jay powell just told you youre not going to get any income. I want income. General mills is going to give me income with a consistent growth rate, i want that right now. That pleases me. Johnson johnson will give you income i love j j. I was singing the praises like i pledge allegiance to j j one nation under whatever i dont want to get in trouble i think its terrific. If jenny was on the show today this would be music to her ears in terms of looking for dividends stocks why not why cant we get some income income from bitcoin. Thats a joke. I dont think so. Its a crypto joke. The other interesting move today, joe, is Twitter Twitter got a big upgrade. Its stock is at the highest level in two years what are you doing with twitter, joe . Yes the stock is about to make a fiveyear high above june of 2018s 47. 79 you know i follow momentum quite a bit. I bought twitter this morning on the momentum i read the analyst note. I like the fact the setup going into earnings has very low expectations, but this is a stock based on price momentum that is going to break out above that fiveyear high. Its going to trade into the mid50s, and i clearly see you have 20 to 25 potential upside from where it is right now when momentum, which has been lagging for over five years in twitter finally builds, you see it coil and you finally see it spring forward thats a very powerful dynamic to enter into the marketplace right now. I think thats the biggest catalyst steph yeah, i own it. I think the momentum really kicked in last quarter when their monetizable daily average users, which is what the stock trades on, rose 40 year over year and showed big discipline in expense management. Expenses rose 5 but that compared to up to 15 in the first quarter. You had a lot of operating leverage and so i sti like the stock. I dont know if i would chase it up here. I think this is a good one and, oh, by the way, trades at a discount on price to sales to snap by nine points. I think there could be some catchup. Were willing to chase nike do we chase twitter . Absolutely. I had ned siegel on, the ceo, and he told the story and at the end of it, wow, i had no idea it was this good, that direct response that was good, sports is coming back this is an amazing story it fell flat it was like i was talking to Steven Seagal instead of ned to finish i said how much is it going to be up, maybe a dollar, a dollar and a half, the daily nothing, it went down i was like, are you kidding me you want to sell pinterest twitter is a way to get hold of a gigantic number of people, the ads are very cheap if you have a business and want to get direct Response Twitter is the way and its undersold. I could sell better than they could. I agree besides cnbc, jim, where else is the election going to play out on Election Night and the weeks that follow . Its going to play out on twitter. I was thinking about that in some respect and i was going to say is this really a runup into the election and does the election become a sell on the news for Something Like a twitter which has had this appreciation to a twoyear high, jim, as we said. Not if they get this direct response down. There was a piece about facebook and about how the shops are going to be 25 billion to 50 billion opportunity. If youre twitter youre going to think, okay, lets do shops. I gave ned a list of five things to do, a big todo list. If he does three of them the stock will go to 60 so let me ask you this then about tech as we wrap up that conversation whats the tell, if any, in the fact that while you have names like slack and twilio and you can throw tesla in there but its its own story in and of itself are down double digits month to date. You have a crowd strike, which josh brown has been adding to on a regular basis, he said that stock is up 12 month to date peloton up 28 zoom video is up 60 month to date so it feels like almost now within this high growth tech its even bifurcated within that group. I think some of those stocks are too hot. I like crowd strike and zoom i talk about them all the time and wish they would come down like faang came down a lot of people were comparing this market to 1999. I went back and looked at the charts of 1998 to 2000 for qualcomm, intel, cisco they were the hottest ones they were far more straight up than this and didnt have this kind of correction i think this correction is very good if you own them, what are you talking about . Those stocks are cooling off lets not forget zoom after they reported was down 100 points lets not forget that. And the average sell side price target is 394 so they have to upgrade just the way with the battery. I look and say zoom down 100 turned out to be an opportunity and yet everyone said zoom was done they said docusign was done, scott. They said it was done. No way. I mistakenly bought a property and i signed it and i bought it. Docusign is the better play than zoom. I agree especially with home prices especially with housing. 17 people in front of my house because i havent been there lately think im selling it. Crazy. Why do you think that, joe . The changes are permanent zoom listen, there will be a little bit of a moderation in behavio