The first week of February was down hard. The second week was up hard. And now, the third week, is a total muddle. I’m not going to pretend that I’m not disappointed that things have stalled out like this, but the silver lining is that we have violated key horizontals to the upside. We might – – nowhere does it say we couldn’t – – but I obviously hope we don’t! Here are the key levels for The Russell 2000:
Strengthening bond prices. Surging oil. Strong equities. Grumble. Today is one of those “days to endure” for me. Ah, well. Here’s one idea to share: fallen angel Chipotle, which even with the recent bounce is still 60% off its peak. What we have here is a consistent series of lower lows and lower highs: the very definition of a downtrend.