“It is not wise to find symbols in everything that one sees. It makes life too full of terrors.” -Herod from “Salome” by Oscar Wilde
Right now half the folks are looking at the Russell 2000 and are predicting a trap door break to the downside. Invariably they feel that if this happens then it will also bring down the Dow, the S&P and Nasdaq with it. Maybe Jupiter and Saturn too.
Others see the Russell as a potential buy spot because with the exception of July 17th, its managed to stay above its 200 day simple moving average since it pulled back in May. It is also managing to hold the uptrend line.
We will probably find resolution this week, because there is a bunch of data being released. The schedule between Wednesday and Friday includes second-quarter GDP, a Federal Reserve decision, July payrolls, the July Institute for Supply Management manufacturing report and July car sales.
This should provide gobs of fun for both bulls and bears alike. Things could start spinning like a top next week, so good luck out there.
You can become a Premium member right here.