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Are Large Caps Bracing for a Pullback?

Published 07/10/2024, 02:46 AM
US2000
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IWM
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Starting with Fed Chairman Powell:

  1. Most Recent Labor Data Sends Signal of Cooling
  2. Labor Market Appears to Be Fully Back In Balance
  3. No Longer A Heated Economy
  4. ‘We Are Well Aware’ We Face Two-Sided Risks

Last night I wrote on the US Small Cap 2000:

“We have heard many discussions on whether small caps matter for the market.”

MAGS Daily Chart

The chart above is clear.

Do we care about the small caps?

Is there a correction coming in large caps (NASDAQ:MAGS)?

Did Powell say anything, really?

As we all try to read between the lines, please have a look at where you might consider parking money right now.

ETF Summary

  • S&P 500 (SPY) 5400 support 5600 resistance
  • Russell 2000 (IWM) 197-205 tightest range to watch
  • Dow (DIA) 40k resistance
  • Nasdaq (QQQ) Meager consolidation at the all-time high
  • Regional banks (KRE) Watching the range 45-50 CAREFULLY
  • Semiconductors (SMH) 260 -280 range
  • Transportation (IYT) Not pretty under 64
  • Biotechnology (IBB) 140 pivotal resistance
  • Retail (XRT) 200 week moving average support at 72.75. Needs to recapture 74.50
  • iShares iBoxx Hi Yd Cor Bond ETF (HYG) Pointing more risk on for now

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