Russell 2000 Tags Resistance as Nasdaq and S&P Breakouts Hold

There wasn't a whole lot of change on Friday, although the breakouts established in the S&P and Nasdaq held.  The rarity of triple tops was confirmed by the third attempt by the Nasdaq to break resistance as it did during the summer of 2020.  The breakout was established with a confirmation in On-Balance-Volume 'buy' signal and a relative performance advantage over the S&P

The S&P breakout was more subtle but still enough to register on a weekly chart.  Of technicals, only the MACD is on a 'sell' trigger. 


The Russell 2000 had a good week, but the gains weren't enough to deliver a breakout.


Indices will need to confirm their breakouts and have the Russell 2000 follow the lead of the Nasdaq and S&P.  Bull markets are driven by Small Cap leadership, so it will important that the Russell 2000 can do what the other indices have already achieved.  Initial signs are good, but more is needed. 

You've now read my opinion, next read Douglas' blog.

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