Minor Losses Across Indices

Indices eased back on recent gains, but nothing to raise a concern for the health of the broader rally. It would be too easy to overplay the losses - especially given trading volume was light - so best to let it play out over the coming days. 

The Nasdaq took a slightly bigger hit, probably because it hasn't yet breached its prior high. Volume has been trading steadily downward since the February peak, so any surge at this point will likely kick start the direction of the next move. 

The Russell 2000 felt that largest-selling pressure, giving up over 1% as it rests on its 50-day MA. The 'handle' is still intact, but with relative performance trending downwards there is a risk these losses could accelerate.

For tomorrow, we will want to keep an eye on the Russell 2000. If today's losses are going to get worse, it will be the Russell 2000 which will suffer. 

Disclaimer: Investors should not act on any information in this article without obtaining specific advice from their financial advisors and should not rely on information herein as the primary basis ...

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