Despite intraday recovery yesterday which helped to salvage the major index ETFs in our Trend Analyzer from moving into oversold territory, each member of the group has moved closer to oversold, and all of them are well below their 50-DMAs. Currently, there are only four ETFs that are oversold while the rest are neutral and moving towards oversold territory. Long-term trends are still firmly biased towards the downside. The widespread declines over the past few days have also erased almost half of these ETFs’ YTD gains. Six are now negative on the year.
While the Nasdaq (QQQ) has fared the best recently only falling 1.07% in the past week, Mid-Caps and Small-Caps have taken it on the chin. The Core S&P Small-Cap (IJR), Micro-Cap (IWC), and Russell 2000 (IWM) are all down the most in the past week with double or more the losses of most of the other members of this group.