Russell 2000 Declined 23% and 53% last two times this took place…its back!
When it comes to “Monthly Momentum” it can take a while to become very overbought or oversold. The Russell 2000 monthly momentum reached lofty levels back in 1998 & 2007. Once momentum support broke the Russell experienced declines ranging from 23% to 53%.
On the opposite front, when monthly momentum reached oversold levels back in 2003 & 2009, strong rallies took place (100%+).
The rally off the 2009 lows now has monthly momentum higher than it was in 2007 and near the 1998 levels. Recently momentum is turning down and breaking support as the Russell is near a 14-year resistance line.
When lofty monthly momentum broke support in the past, small caps struggled to make much more upward progress in the following years.
Is a slippery slope ahead for small caps? Will it be different this time? Stay tuned, this could be very important for small caps!!!
See us at Kimble Charting Solutions
Recommended for You
ROSEBURG, Ore. (AP) — The 26-year-old killer who gunned down classmates at an Oregon college spared a student and gave the "lucky one" something to deliver to authorities, according to the mother of a student who witnessed the rampage.Associated Press
The American daredevil Johnny Strange has died in the Swiss Alps while attempting a wingsuit jump, the latest casualty in what is regarded as one the most dangerous extreme sports, authorities said Friday. On Thursday afternoon, Strange jumped from a 2,000 metre summit in the Swiss canton of Uri…AFP
By Emily Flitter ROSEBURG, Ore. (Reuters) - The first thing customers entering the Roseburg Gun Shop see is a life-sized cardboard cutout of President Barack Obama with a Middle Eastern scarf around his head and a badge pinned to his chest that reads: "Gun salesman of the year." The customers and…Reuters
SAN JUAN CAPISTRANO, Calif. (AP) — A Southern California nurse said she was working in the emergency room when she learned a patient dying from a hit-and-run crash was her brother.Associated Press
Russia on Sunday said it had bombed ten new Islamic State group targets as it prepared to ramp up its bombing campaign in Syria. Russian bombing raids against what Moscow says are Islamic State targets went into their fifth day despite criticism from Washington and its allies that the military…AFP48 mins ago
Authorities still haven't detirmined which drugs killed Cahtriona White.Complex
DEAR ABBY: I have anger issues and sometimes I take it out on the ones I love. When my fiancee recently told me we are having a child, I hoped my attitude would change. It hasn't, and at times it has gotten worse. I hit her last night and it left a mark.I feel awful for the pain I continue to cause…Dear Abby
(Reuters) - The father of the Oregon college gunman said on Saturday he "has to have some kind of issue" with his mental health to have killed nine people execution-style and wondered how he amassed such a large cache of weapons. "How on earth could he compile 13 guns?", Ian Mercer told CNN during…Reuters
An investigation is underway after an employee at a north Texas Walmart recorded a woman allegedly stealing from the store and then getting into a fight outside.KTRK – Houston
IRVINE, Calif. (AP) — An unlicensed teenage driver who was at the wheel during a fiery freeway crash in Irvine last year that killed five of his friends was charged with vehicular manslaughter.Associated Press
Pittsburgh Steelers kicker Josh Scobee has paid the price for missing two fourth quarter field goals in last Thursday's overtime defeat to the Baltimore Ravens, released by the club on Saturday in favour of free agent Chris Boswell. Boswell tried out for the Steelers on Friday after Scobee's…AFP
NBA star LeBron James expressed outrage that an infant was killed in a drive-by shooting in Cleveland.Inside Edition
San Jose is cracking down on massage parlors that may be a front for prostitution. City leaders say they want to get in front of the issue before the Super Bowl.KTRK – Houston
MOSCOW (Reuters) - The Russian air force is using KH-29L air-to-surface laser-guided missiles in Syria, the RIA news agency reported on Sunday, citing Colonel Igor Klimov, an air force spokesman. The high-precision missiles are being used by Su-34 and Su-24 aircraft, Klimov said. On Saturday,…Reuters
Israel took the rare and drastic step of barring Palestinians from Jerusalem's Old City on Sunday as tensions mounted following attacks that killed two Israelis and wounded a child. The usually bustling alleyways of the walled Old City were mostly quiet on Sunday morning, with stores closed and…AFP50 mins ago
DALLAS (AP) — A man has been arrested in the murder-for-hire shooting death of a pediatric dentist and an arrest warrant has been issued for a woman suspected of hiring him, police said Friday.Associated Press
It's kind of a no-brainer.Complex
- Fibromyalgia TreatmentSponsored
Fibrolief is a safe, all-natural formula that has helped thousands of people get relief from Fibromyalgia symptoms. Take your life back. Try it free!
SAN FRANCISCO (AP) — Robin Williams' widow and his three children from previous marriages reached a settlement in their legal fight over the late actor's estate, ending a public dispute following the beloved comedian's suicide last year.Associated Press
James Harden reveals what motivated him to sign a deal with adidas.Complex
A woman in the middle of contractions danced to the hit song while in a hospital hallway.Inside Edition