Smallcap 50, Weekly - Update on this view. It took almost 4 months of distribution at the peak. Now there’s a H&S breakdown on the weekly.
There will be sharp pullbacks probably even within this week but we are more or less done on the long-term trend unless we close above 5500 strongly on the smallcap 50 weekly here for resumption of long-term uptrend. Liquidity vanished in several stocks today and could be the story in several small/microcaps going forward. Gains can be very quickly wiped out in periods like these, so its not time to be brave. Be cautious and try not to be suckered into illiquid micro/smallcaps in the vicious pullbacks, especially if you have no fundamental view with a variant perception.
Disc: My market allocation has been reducing and low last few months so I am perhaps biased in my view.