November 14 (Mon): Russell 2000 (Free viewing item: What is Russell 2000?)
Good evening?
Why should we look at the Russell 2000 today?
I plan to give a simple explanation?
What is the Russell 2000…?
Quote: Daiwa Securities
https://www.daiwa.jp/glossary/YST2260.html
There is a more careful explanation here than I can provide, so I have posted it.
Daiwa Securities, thank you m(_ _"m)
As described above, the Russell 2000 is mainly composed of small-cap stocks.
When the economy deteriorates, small-cap stocks are affected first and their prices tend to fall.
In other words, it can fall before the Dow Jones and NASDAQ!
In mining, a “canary” is carried to detect poisonous gas. Canaries can detect toxic gas before humans, so analogously, the Russell 2000 can detect declines before the Dow Jones and NASDAQ, whichis why it is called the canary of the mines.
So, tonight let's keep an eye on the Russell 2000.
I always check the Russell 2000 on weekends or at the start of the week to see if a decline is coming soon.
(※Only when there is a possibility of a decline)
(※The following market awareness is limited to members.)