While the recent surge in mega caps in the Dow Jones Industrial Average has received tons of hype, it is still worth keeping tabs on the small caps in the Russell, one of the true leaders of the bull in recent quarters.
On the ETF’s daily chart, below, note the initial rejection from the 20-day moving average. It is tough to glean too much from this chart, currently, other than to say it is still broadly in consolidation/chop mode and indeed has been throughout this year. If bears can actually follow-through lower the rest of this week, then they would have something to work with.
For now, the main takeaway is that the small caps are generally lagging the S&P at new highs.
Elsewhere, bonds are seeing more weakness after a recent breakout attempt failed. Metals and miners remain sluggish and in search of a major higher low. And corn is the star of the soft commodity show.
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When will you decide to buy CORN?