Index Chart Overview
The Dow Jones set another new all-time closing high today, but it was the only major US index to show an advance on the day. The largest index decline came from the Russell 2000, which has lagged the S&P, Nasdaq, and Dow in terms of making new highs and its technical pattern (it remains rangebound).
The Dow made new price highs and a new (relative) momentum high, suggesting higher prices are yet to come (likely following a pullback correction).
The Nasdaq is reconfirming its uptrend and recently made new price and new (relative) momentum highs. A ‘sell swing’ down to test the rising 20 period moving average is more likely than immediate upside continuation.
The Russell 2000 index is experiencing a swing sell, with odds favoring a test of the rising 50 period moving average. The largest major index decline today was experienced by the Russell – note that it failed to make new highs with the other indexes. Buyers are not pouring money into small cap stocks relative to the large caps of the Dow 30 stocks.