Hey, Ross here:
The major indexes pulled back again yesterday as the back-and-forth between Trump and China continued.
Volatility also spiked.
Like I said, this was to be expected.
But there was something rather surprising – which you can see in the chart below.
Chart of the Day
While the S&P 500 and the Nasdaq dipped a little yesterday…
The small-cap Russell 2000 posted a surprisingly strong 1.4% return – a move that pushed it to new all-time highs.
The index also looks set to gap up at the open this morning.
Plus, look at the ratio of the Russell 2000 to the S&P 500.
It’s now back at levels last seen over eight months ago in early February.
And it looks like there could be significant room for it to run further.
You can see from the chart that the ratio has also been steadily increasing since August.
This is a clear sign of a rotation back into small-cap stocks.
Will it be a short-term thing – or a longer-term trend?
Truthfully, it doesn’t matter much to me.
I explain why below.
Insight of the Day
A small-cap surge doesn’t have to last long for you to profit from it.
There are a lot of investors who buy-and-hold a major index – commonly the S&P 500 – and do pretty well.
As a long-term strategy, it’s a decent way to go.
But I don’t know any investor who’s buying-and-holding a small-cap index like the Russell 2000.
If you had done so, you wouldn’t even have beat inflation in the past few years…
And you’d definitely be severely lagging those who did the same in the S&P 500 or Nasdaq.
It’s true that small-cap stocks have much greater upside potential.
But you have to be more targeted.
You have to pick and choose the most explosive individual stocks…
And you have to take profits when the time comes.
This is why it doesn’t matter how long this small-cap surge lasts.
We’re not buying and holding…
We’re running a precise raid on select targets – with the aim of realizing our gains along the way.
That’s why later this afternoon at 3 p.m. Eastern…
I’m going LIVE to show you how to play this small-cap surge, using a strategy that has signaled moves like:
- 163% in seven weeks
- 270% in 10 weeks…
- 177% in 11 days…
- And even 148% in just two days:
One of the recent recommendations of this strategy is already up 48% in just two weeks!
Later this afternoon, I’ll reveal the full nuts and bolts behind this strategy…
And even share the name and ticker of one of the top opportunities this strategy is pointing to right now.
So click here to guarantee your spot for my live strategy briefing if you haven’t yet…
And I’ll see you later this afternoon at 3 p.m. ET sharp.
P.S. If you’re planning to attend on a mobile device, make sure you download the presentation app now so you don’t miss anything when it starts. See you there.
iOS: https://apps.apple.com/us/app/goto/id1465614785
Android: https://play.google.com/store/search?q=goto&c=apps
Customer Story of the Day
“I’ve been an extremely happy customer for over a year. I’ve doubled my money and would have made more money had I not ventured off and did my own thing. (a learning experience, but much wiser now).”
Ross Givens
Editor, Stock Surge Daily