Mish’s Daily: Battle of the Elders: Grandpa Russell 2000 V. Granny Retail
Written by Michele ‘Mish’ Schneider
Just look at the March lows in Granddad Russell 2000 (IWM).
Now look at the March lows in Granny Retail (XRT).
So who is right?
IWM has moved up for the March lows and to start the week, took the lead.
IWM cleared the 50-DMA in price now in recuperation phase.
Real Motion-our proprietary indicator that lets you see hidden strength or weakness during market trends-right now is as interesting as the diversion in price between Gramps and Granny.
IWM’s momentum indicator cleared the 50 and 200-DMAs changing phase to accumulation.
That is a bullish diversion for IWM as the price is still under the 200-DMA.
Granny XRT on the other hand, shows momentum declining and below both moving averages.
However, could be a mean reversion forming. Or at least we hope so.
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Mish in the Media
TD Ameritrade 05-22-23
Daily Briefing Real Vision 05-19-23
Business First AM Retail 05-16-23
Business First Am GME 05-10-23
Business First AM 05-09-23
Daily Briefing Real Vision 05-09-23
May 23, 25 Mario Nawfal Twitter Space
May 25 Wolf Financial Twitter Spaces
May 31st Singapore Radio with Kai Ting 6:05 PM ET MoneyFM 89.3
June 2nd Yahoo Finance
S&P 500 (SPY) 23-month MA 420 Support 415
Russell 2000 (IWM) 170 support – 180 resistance
Dow (DIA) 336 the 23-month MA
Nasdaq (QQQ) 336 cleared or the 23-month MA-now its all about staying above
Regional banks (KRE) 42 now pivotal resistance-37 support
Semiconductors (SMH) 23-month MA at 124 now more in the rear-view mirror
Transportation (IYT) 202-240 biggest range to watch
Biotechnology (IBB) 121-135 range to watch from monthly charts
Retail (XRT) This could be the new harbinger like KRE was in March. Poor Granny.