By: Economic & Finance Report
The Russell 2000 (RUT) major cap index just hit bearish territory, marking a strong signal in the markets that maybe the honeymoon upward could be coming to an end; again, just may-be? The Russell 2000 (RUT) on Thursday, January 27, 2022 was 20% below its peak from November 2021. Many traders have been selling off their stock assets the past week and this has brought down the index tremendously from it high peak from latter of the 2021 year.
When the pandemic first initiated in 2020, the RUT was the leading indicator that predicted the markets would feel the effects from the beginning of the coronavirus (Covid-19). When the RUT entered the bear market in March 2020, other indexes followed days later; but by then the writings were already written on the wall. -SB
Image Source: Warrior Trading