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Russell 2000, Retail And Transportation Sectors Tell A Story

Published 09/01/2022, 12:32 AM
Updated 07/09/2023, 06:31 AM
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I'm going to introduce you to my favorite way to explain markets, price action, where the market might be headed, and cover a few technicals with you.

We will talk with three finance experts within our Modern Family to find out more. Please sit back and relax while I take you through it step by step.

Retail will tell us how consumers are dealing with inflation and how many goods and services consumers are purchasing.

XRT-Daily Chart

Russell oversees small capitalization stocks. It is the strongest, but is still bullish, and holding its 50-day moving average.

IWM Daily Chart

The Russell highlights the needs today of small companies

The Transportation sector has been one of the biggest drivers of the commerce in recent years.

With earnings growth slowing and valuations at above average levels, some investors are wondering which sector can continue to lead and if Transportation, can continue growing, but the new lows look a little murky.

IYT-Daily Chart

Transportation measures how many goods are transported globally.

There are many important factors to consider when trying to predict where the market might be headed. And while there are a variety of ways to make investment decisions, my favorite way is through price action.

It’s important to remember that no one knows for sure where the market will go. The best we can do is make an educated guess based on the price action we have available in front of us.

ETF Summary

S&P 500 (SPY) Confirmed phase change to bearish-390 next support

Russell 2000 (IWM) Held the 50-DMA by a thread and if continues to do so could see some buying

Dow (DIA) Confirmed phase change to bearish-315 6-month calendar range high

Nasdaq (QQQ) Confirmed phase change to bearish-296.75 6-month calendar range high

KRE (Regional Banks) 62.00 the 50-DMA

SMH (Semiconductors) Confirmed bear phase h 215 pivotal

IYT (Transportation) 228 the 50 DMA.

IBB (Biotechnology) Confirmed bear phase. 125 resistance 117 next support

XRT (Retail) Unconfirmed bear phase and will confirm if cannot clear back over 64.50

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