The 200 day moving average remains in control.

The small caps(IJS) moved past the 200D in the early going yesterday but the upside momentum eased by the close. Small caps are weak again today as another potentially failed breakout appears to be developing. The $147.00 area is the initial support zone. A close back below last week’s low($143.00) could open up the downside. The previous two pullbacks that followed failed breakouts in February and May lead to 10% corrections.

At time of publication we do not have a position in IJS.