New collapse of the dotcomas: what to do investors to do after the collapse of the Facebook and Twitter shares?

Founder Facebook Mark Zuckerberg. Photo from the White House website

The collapse of Facebook and Twitter, a record in the history of the American stock market, raised the question this week: is it not the beginning of the end of the rapid growth of the technological market, which bankers, economists and traders have been warning about for many months in a row.

• The capitalization of Twitter, after the publication of the company's reporting for the second quarter, has made the path along the same trajectory today as yesterday - Facebook . The company's quotes have collapsed by 19% - this is the largest intraday fall since October 2016.
• The main reason is to reduce the average monthly Twitter audience by 1 million people, to 335 million. Compared to last year, this indicator increased by almost 3%, and the company explained to the first quarter, the company explained by reinforced measures to “clean” the platform from unwanted users and the tightening of European legislation to protect personal data.
• Like Facebook, Twitter declares that the priority is now - restoring order on the social network: weekly, using the Twitter artificial intelligence algorithms, finds more than 9 million potentially harmful accounts. This strategy in the long run will give steady growth, the company believes, but investors seem to be not going to wait.
• They sent the same signal yesterday Facebook, when the company lost $ 120 billion costs in a few hours (today the social network continued the fall).
• The main pain of investors is the fear that technological companies have exhausted the opportunities for growth. Twitter does not even save Donald Trump, the most enthusiastic user of the service: “We simply do not see that grocery innovations affect the ability of Twitter to attract new users,” Benjamin Skakter quoted Bloomberg quoted Bloomberg.
• The entire sector today supported the strong reporting of Amazon, but the S&P 500 index is still reduced by the second in a row, and in the lead leaders- Inte L (-8.3%) and Microsoft (-1.8%).
• So nervously traders say goodbye to the explosive growth of IT giants. But when you see the second collapse in a row, the future involuntarily ceases to see such beautiful as yesterday, the chief investment director of Commonwealth Financial Network Brad Makmillan admitted to the agency.

Draw analogies with

Irina Malkova, Peter Mironenko