The Russell's P/E one year ago was 30 and price was 99(IWM); Today it's 100 and price is 125.
Price grew 20% while the P/E ratio ballooned 70%!.
Are earnings going to grow fast enough to catch up to that price to bring back some kind of fair value?!?!
There is a small gap up at 113-113.50; so any counter trend bounce, look for that target.
For now; a daily close below the 200DMA makes the next few days very crucial for next direction. Given the above statements; I'm not scratching my head on the why of this move lower.
Battle continues tomorrow.
For now; a daily close below the 200DMA makes the next few days very crucial for next direction. Given the above statements; I'm not scratching my head on the why of this move lower.
Battle continues tomorrow.
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