Micro-caps ($IWC): lowest weekly close since Q4 2020.
Bull market behavior? I don't think so. pic.twitter.com/jpA93qTK69
— Willie Delwiche, CMT, CFA (@WillieDelwiche) September 22, 2023
Today’s Chart of the Day was shared by Willie Delwiche (@WillieDelwiche). Micro Caps ($IWC) remain in a bear market, down -36.5% from its March 2021 peak. Willie points out that $IWC just booked its lowest weekly close in nearly three years. It hasn’t made new lows on a daily closing basis yet, but it’s getting awfully close. It’s currently testing a major support level, around $100. Not only is this an important psychological level, but it also represents the pre-covid highs and has acted as support several times in the past year. Generally speaking, the more times a level is tested, the more likely it is to fail. If $IWC breaks down here, it would be a major red flag for the broader market.