Despite a trading range in the Russell 2000, the big relative swing against Small Caps is undermining the April rally. Without participation of Small Caps, the broader rally will struggle for long term traction. What would add to the misery is if the breakouts in the Tech averages would fail (and they are close to it).
The S&P was the big winner despite its loss. Look for the flight to safety to continue, although eventually there will be nowhere to hide.
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Dr. Declan Fallon is the Senior Market Technician and Community Director for Zignals.com. You can read what others are saying about Zignals on Investimonials.com.
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