My new rendition of Marlyn's Curve shows exactly what the old one shows - small caps as represented by the IWM ETF are once more taking the lead. The tired old Dow Industrials on the other hand, despite making new all-time record highs day after day after day, are kind of flat - in other words, for as strong as they appear to be in the newspaper or on TV they are actually pretty not doing well at all.
As you can see the small caps took a hard turn back about January 24th or so. Again Marlyn's amazing Curve doesn't concern itself with the mundane of price but rather the excitement of return so we can see that you would have been better off putting your money in IWM rather than DIA.
The Q's have turned down again which reflects the problems that tech is having finding a champion now that GOOG and MSFT and AAPL have all abandoned ship. SPY is looping up a bit and the dodgy old Dow just stays flat to down. Was there ever a time to play long caps in the past year of so - maybe back last Spring when the small caps turned over and the Dow took a bit of a jog up. But since that brief time - no - unless you want to call being in big caps during the run down into August was a good thing (you were losing less on a percentage basis at that time). And then there was another brief period - but you get the point.
Small caps rule.