Market Weakness Working From the Outside Inwards


THE STOCK MARKET: Weakness Working From The Outside Inwards

The Russell 2000 and the Nasdaq represent the majority of  American Stocks.


Click Charts to Enlarge

However, the stock slide from around the globe has spread to the US as well.

Starting with the largest indexes, we get a more balanced view of the state of the markets (or at least the majority of listed companies that comprise it) and that view is that of a weakening market overall. As you can see with the larger indexes in the above charts, starting with the Russell 2000 as the most weakened and moving to the S&P 500 we see another blue chip group that is testing the lows of the previous year.

russell2000The Russell 2000 has already taken out it’s previous year’s lows.

All the other US Indexes are approaching the same lows from last year.

This is a powerful support area, which, once broken, will want to take the markets much lower.

It will take a lot of investment to overcome and rally from this price area.

There’s less investment liquidity to ‘buy the dips’ this time around compared to the last and the economic world is a much different place today than then. – George.


Please take a moment to sign up for the WD Gann Traders member’s private group (click here). Just enter your name and email and you’ll be first in line to be notified of new private and public postings, charts and articles. You won’t be spammed and your email is safe with us.

By joining, I’m able to connect this special analysis information to you to let you know of some special situations coming in the markets.

What’s in it for You? You may be one of those looking for just such specialized knowledge and joining will help you to confirm the validity of the techniques over time.

What’s in it for me? You may, in turn, tell others thereby helping to spread a sense of purpose and order in the markets around the World. Also, I’m still striving to reach out and teach others the results of my over 45-years of research work through my several courses of instruction. – George