How About It, Smalls?

By -

Although opinions are diverse here, I think we can collectively agree that the broad stock market (represented below by the Wilshire 2500) is, shall we say, elevated. As in: never been higher. As in: not a bargain. As in: insanely overpriced. Seriously. Nosebleed territory.

slopechart FR WILL IND

What, if anything, will be the first to break? My money is on the small caps. Let’s keep an eye on this diamond pattern.

slopechart RUT

Taking a few big steps backward, we can see this diamond in the broader context of the past couple of years. Get the diamond to fail, and the trendline fails, too.

slopechart RUT

Now I shall return you to the Live TimCam showing me attempting to generate content from this lifeless market of ours during the weekend.