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Feb 05 2021

When “Overbought” Is Bullish

  • Feb 5, 2021

The recent months’ surge in Small Caps has been historic, and the Russell 2000 continues to register ridiculously “overbought” readings on many technical oscillators. In the short-term, that might be a cause for caution on the overall market. However (and perhaps counter-intuitively), this extreme strength cements our view that a long-term leadership cycle in Small Caps is underway. 

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About The Author

Doug Ramsey / Chief Investment Officer & Portfolio Manager