One thing we've learned from well over 100 years of Tradfi, is that during bull markets the laggards catch up to the leaders.
We see the opposite during bear markets, where the remaining leaders end up catching down to the culprits that are already leading the way lower.
You see, with Bitcoin and Ethereum getting all the headlines with their new highs this month, Solana had been the largest crypto currency that was missing in action.
And well here you have it, Solana now joining the party, and being added to the new 52-week high list:
Almost every Small-cap sector is down since the highs in late December. That was 2 months ago.
The day the US Dollar Index bottomed was the exact day that Small-caps stopped going up in price.
That was also the same day that the US 10yr Yield bottomed.
I don't believe that was a coincidence.
You're welcome to.
What I see is a group of stocks struggling to make any progress. It's hard to underperform the Small-cap indexes, but somehow Financials found a way.
Here are Small-cap Financials, which are loaded up with regional bank stocks, rolling over and making new 4-month lows relative to the Small-cap 600 Index.