The market finished last week with three big down days. So far this year, the Nasdaq is down 6.5%. Much of the fall has been driven by Small Cap stocks as the S&P 500 Large Caps is only down 3.6% during the same period. As John Murphy subscribers already know, the Technology sector has been the weakest so far this year while Energy and Consumer Staples have been the strongest.
Speaking of John Murphy, this edition of the newsletter kicks off with a great educational piece on moving averages from John. Richard Rhodes then shows us why January's decline is becoming increasingly important. Carl Swenlin sees reasons for optimism in the OEX Put/Call ratio. And finally Arthur Hill looks to the Retail and Semiconductor sectors for relief.
Let's dive right in...
