After impressive two-day advance, Russell 2000 on verge of bullish golden cross Potential unwinding of VIX surge of early this week to act as tailwind for stocks In the end, rally nothing but gift for patient bears to short from … Continued
Sellers take advantage of early-morning strength to sell more stocks Amidst this, transports, high-yields draw buyers; panic noticed in VIX:VXV action Trade could be developing, but given developments in energy space, sustained rally not probable Another ugly day! Could have … Continued
Laggards since March, small-caps continue to fall behind large-caps With increasing signs of distribution, RUT, IWM face technical hurdles More pressure ahead if/when non-commercials start adding to net shorts Since end-September, large speculators have drastically cut back on their net … Continued
Small-caps continue to lag their larger brethren RUT sitting on three-month resistance, breakout could be crucial Breakout not probable as bulls have already used up plenty of energy past five weeks Enough ink has been spilled over the issue of … Continued
Encouraging signs of near-term bottom VIX unable to break past 17; several other indicators grossly oversold Medium-term risks remain; SPX, DOW, RUT, NYSE have broken late-2012 trendline The Dow Industrials and the Nasdaq Composite yesterday successfully tested trendline support going … Continued
VIX action yesterday constructive for equity bulls Medium- to long-term, equities have much more to go on the downside Near-term picture beginning to change, as beaten-down junk bonds and small-caps attract bids The morning gap-down in U.S. equities yesterday was … Continued
Large speculators in Russell 2000 futures showing aggression, net shorts highest since June 2011 IWM short interest gradually on decline since end-July, stock seems to find support at 110 Too early to say support will hold medium-term, but a trade … Continued
Having lagged large-caps since March, small-caps have very weak technical underpinnings, and are getting close to a make-or-break level. Non-commercial futures traders have astutely taken advantage of the decline. Watch what they do. It has been a while this blog … Continued
The answer to the question above is a probable yes. Twice since early March this year, small-caps have come under decent amount of pressure. The first was a nine-week, 11-percent decline that began early March, followed by a nine-percent drop beginning … Continued
NYSE Composite short interest in the middle of August was essentially unchanged month-over-month at 14.8bn, while the Nasdaq Composite saw a 2.4-percent decrease at 8.6bn. The adjacent chart and the one below show how short interest has been building up … Continued