The current mid-summer rally will last until the end of August, but trading volumes will be light with many investors on holiday, Robin Griffiths, technical strategist at Cazenove Capital told CNBC Monday.
"It's more important to have your capital ready to buy a dip in October," Griffiths said. "By far the best bet is we'll be lower in October than we are now." Griffiths said he sees the market falling toward the March lows in October.
The tech sector in the U.S. is looking in "quite good shape," according to Griffiths. He noted that Intel , IBM and Cisco earnings figures were good, while Dell disappointed.
"From a chart point of view, certain high-tech stocks do look as though they're in proper uptrends which have got a bit more momentum," he told said. "If I was going to trade anything for this mid-summer rally, that sort of area would be the place to go."