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It Pays to Watch the Russell 2000

By Harry Schiller

About this article:
Granted, it's not always about the Russell 2000. But for the past week, it was the Russell 2000 more than any other index that called out (at least to me): "This is not a breakout in the making. It's a top." Only the Russell 2000, of the broad indices that I follow, has failed (again) to take out its Sept. 23 high. This morning's pop up to the 622.69 level not only failed to take out the high from Sept. 23 at the 625.31 level, but it also fell shy of the series of highs over the past few sessions that occurred in a tight range of 623.28 to 624.13. So far, in four of the past six sessions, the Russell 2000 has topped out in that little zone, less than a point wide. Because today's move didn't quite make it into that resistance zone, it won't...

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