The Hidden Pullback & the Narrow Bull Market
Hey, Ross here! The Equal-Weight S&P 500 (RSP) has been quietly pulling back this month, slipping below its 21-day moving average and nearing its 50-day. Most traders are missing this “hidden” pullback because they’re focused on market-cap weighted indexes, which are being propped up by the Magnificent 7 stocks. This divergence also explains why the Nasdaq closed higher last week. The real question is—how can we take advantage of this pullback? I break it all down in today’s Insight of the Day.