Chart of the Day - Thursday, February 11th, 2021

Today’s Chart of the Day was shared on Twitter by Stefan Cheplick (@scheplick). It's a daily candlestick chart of the Russell 2000 over the past ten months. The Russell 2000 has made a truly remarkable comeback. Just a few months ago, the Russell was considerably lagging the other major indices and hadn't made a new high in years. It was essentially the redheaded stepchild of stock market indices, but it has quickly turned into the market's new leading index. It's currently up 15% year-to-date, which is more than 3x the S&P 500's performance and 5x the Dow's performance over the same period. It's even outperforming the S&P 500 on a 1, 3, and 5-year basis now as well. Stefan points out that a 10% correction from here would bring us back to levels seen just ten days ago. Taking it a step further, a 20% bear market drop would take us back to the levels we were at in early-December, which is still comfortably above the former highs.