The Russell 2000 Is the Chart to Watch. Here’s Why.
I’ve mentioned the equal-weight S&P as an important indicator before. But now, I’m watching the Russell 2000 because it might have even better guidance for traders and investors.
Some Say the Market Can’t Fall, But Has Buying Begun to Dry Up?
Sentiment remains bullish for the Mags and Semis. But volume appears to be narrowing. Here’s my analysis.
I’ve Seen This Nasdaq Chart Before
The Nasdaq’s chart looks familiar. And that’s not necessarily a good thing. Here’s what it says.
Are You Paying Attention to the Market’s Subtle Warnings?
Let’s look at the sentiment cycle chart to see where we are. Hint, while we’re not at ‘enthusiasm,’ we’re also not at ‘panic.’
Just When They Stop Talking About Broadening Out, We Broaden Out
The market was down today, but the selling was orderly and concentrated in tech and the mega caps.
The Mags Are Ugly on a Day With Good Breadth
Why was the market down on a day that breadth was positive? It’s that either/or market again.
French OATs, the VIX and Sentiment
Wednesday’s VIX put/call ratio was .18 so the pros are looking for a pop in the VIX. Perhaps it finally gets jumpy.
Also today we have the makings of a bearish narrative: French Bonds (OATs). Even the clowns who didn’t even know the French had bonds yesterday are quoting OAT prices.
Maybe we’ll finally get a change in sentiment.
A Change in Sentiment Would Help. Here’s Why.
Sentiment is deeply important to how the market performs. Right now, sentiment remains more complacent than I would like.
The Bulls Are Leaving the Building. That Could Improve the Odds of a Rally.
It’s counterintuitive, but if more people turn bearish, then there is more fuel for a rally as those investors jump back into the market.
Tech Stock Charts Don’t Look Good, but the Market Is Oversold
It’s still an Either/Or market, but right now, with the market oversold, we could see a bounce.