You can dismiss it all you want, but the small caps in the Russell 2000 continue to be a major thorn in the side of bulls looking for a clean resumption of a healthy uptrend.
Simply put, small caps continue to get rejected from the 200-day moving average from underneath it.
With the small cap ETF, seen below on the daily timeframe, threatening to lose the midpoint of yesterday’s price range there is now a serious danger of trapped buyers finally starting to panic and scramble for the exits all at once.
Needless to say, the close will be critical, once again. Another bear trap? V-shape?
The descending triangle I have highlighted for you in light blue is very much in play as a breakdown pattern.
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Small caps are a sign of the credit markets hitting max, and most can’t realistically issue junk bonds; so the smart money knows it’s game over in the next 6 months.
The full rug pull you mentioned is becoming reality. The volatility seen in tech, small caps and bio should be an issue for the broader market, but zirp and low inflation pushing back…
Ciao CHESS, are you in TZA again ? or any idea on new entry ? Grazie
Non ancora, pero forse fra un poco…
un giorno dovrai dirmi dove hai imparato l’ Italiano ? sei bravissimo. Grazie mille
Prego
Awesome, throw some Italian adjectives in your videos.