And while investors may have pulled cash from IWM last week, that does not mean they turned around and made bearish bets on small-caps because the Direxion Daily Small Cap Bear 3X Shares (NYSEArca: TZA) saw outflows on the week despite popping 6.2%.
For UUP to pose a deeper near-term threat to small-caps, it would need to break resistance at $21.80 and reclaim its 200-day moving average, which is about 2% away.
Dollar Index SPX: RUT
Chart Courtesy: Market Anthropology. Tom Lydon’s clients own shares of IWM.