Will Geisdorf, CMT, Allegiant's Senior Research Analyst, was recently quoted in a MarketWatch article on July 24, 2020. Click here to read the complete article.

Dow slips Friday, Nasdaq logs back-to-back declines amid rising China-U.S. tensions and languishing fiscal stimulus

Thus far, China-U.S. tensions have been ignored in favor of a focus on the public-health crisis and fiscal stimulus.

But more recently, all those issues ran head-on into an arguably overvalued market, said Will Geisdorf, senior research analyst with Sarasota, Fl-based Allegiant Private Advisors.

"We're in the middle of a pandemic and the markets are sitting just off their highs for the year," Geisdorf said in an interview. Several sectors, in fact, are at all-time highs.

The weakness in risky assets this week probably represents a "consolidation" rather than a response to the big headwinds, Geisdorf thinks. Markets would be reacting much more forcefully if investors didn't think Congress would eventually pass some form of additional stimulus, he noted.