Check out 5 year weekly of IWM vs SPY. Every time spread gets greater than 15%, we get the pullback - a nice healthy 10% before the next leg up.
Some of the more notables are:
April 10.10 - DIV = 17%, Pullback at July 2/10 = 14%
July 8 - DIV=23%, Pullback at Aug 19 = 18%
Today: DIV = 18%
Sentiment: Strong Sell
Good stat. IWM peaked a couple weeks ago. We'll see if it makes a new high. I haven't really followed it today even though I'm short TF. Very boring day.
Correction: Today brings the weekly divergence up to over 20% in terms of performance.
Look at the current volume as it matches up to those pullbacks I referred to.....
Signs have a way of being ignored, until a big Crash.