The computer and technology sector was 3.1% undervalued at the end of July and is 12.4% overvalued today. My benchmark for this sector is the Technology Select Sector SPDR Fund ( XLK), and its daily chart profile shows overbought momentum. With XLK we show that Tuesday was "key reversal" day where the day's close was below Monday's low after setting a new multiyear high. On Aug. 9 I provided "Buy and Trade" guidelines for "Trading Technology and Telecom Stocks." XLK ($30.58) is trading between my annual value level at $25.48 and my monthly and quarterly risky levels at $31.40 and $32.18, respectively. My annual pivot is at $29.93. This article is commentary by an independent contributor, separate from TheStreet's regular news coverage.