It’s been a wild ride since last week, with volatility spiking harder than we’ve seen in six months.
While there’s a list of divergences showing up across the board, it all comes down to Small-Caps.
The rotation into these names is gaining traction as buyers continue to step in and embrace risk.
If there’s one chart that matters most to me right now, it’s the iShares Russell 2000 ETF $IWM — breaking out of a four-year base to new all-time highs.
This is a major development for a group that’s been stuck in the mud for years.
We’re talking about the smaller, riskiest names in the equity landscape finally waking up.
If this breakout holds above the prior cycle high from 2021 — and, more importantly, finds follow-through in the coming days — it’s really hard to be bearish on this market.
Small-caps are back, exactly what you want to see at this stage of the cycle — and right now, they’re calling the shots.
Strazza has been pounding the table on this group, taking swings in key names, landing some of the best trades of the year.
He’s going LIVE tomorrow at 9:45 AM ET on the Open Bar Show to walk through his process and share his latest insights. Click here to join him.
