Small and Microcap Equity Sector Levels & Trends Preview

Russell 2000 - After making all-time highs last month, the IWMs continue to trade sideways.  In the short-term, $135 has been support but it may be deteriorating.  Longer-term, there may be support around the $129-130 level because this was the top and an all-time high in June of 2015.

Russell 2000 Value - The move that the IWNs made in the month after the election is one of the largest gains ever made in that timeframe.  It rivals the move made off of the bottom in March of 2009.  In the short-term, they are trading sideways.  Longer-term, the $105 level may be an important support level because it was important resistance three times over the past four years.

Russell 2000 Growth – The IWOs are consolidating.  Unlike the other two indices, they did not make a new all-time high in the recent rally. There is resistance around the $160 level because this was the peak and an all-time high in June of 2015.  If they head lower there will probably be support around $150 because it was resistance in August, September, and October.

Russell Microcap – The IWCs rallied off of support around the $84.50 level.  This level is important support because it was the peak and an all-time high in June of 2015.  A break of this level could lead to a meaningful move lower.

S&P Smallcap 600 – The IJRs have broken their short-term downtrend and are consolidating.  Longer-term, there will probably be support around the $63 level because it was the top of the range from August through early October.  

S&P Smallcap 600 Growth - The IJTs continue to consolidate around the $150 level.  Longer-term, if they go lower there will probably be support around $140 because it was the top in August & September.

S&P Smallcap 600 Value - The IJSs have broken their short-term downtrend and are consolidating.  Longer-term, if they go lower there may be support around the $125 level because it was resistance from early July through early October.