$Invesco QQQ Trust(QQQ.US)$Invesco Nasdaq 100 ETF(QQQM.US)Last week I mentioned that volatility was starting to creep back into the market, and Friday wasted no time proving the point. The selloff was broad-based, with very few places to hide. What looked like a healthy consolidation quickly turned into a reminder that after a long rally, positioning can unwind much faster than it builds.

My view is that QQQ may still hold its longer-term uptrend, but the excess upside from here probably isn‘t as attractive as it was a month ago. Liquidity conditions are tightening, rates remain elevated, and capital is becoming increasingly concentrated in a small group of winners. That environment tends to produce fewer opportunities and more violent rotations.

The biggest lesson from Friday is that a strong index can hide a weakening market underneath. When liquidity starts becoming selective, stock picking matters more than simply owning beta. The easy gains from the squeeze higher may already be behind us, and the next phase could be much more dependent on discipline than optimism.

@Bridge Buzz SG