Small caps continued to lag today and IWM closed lower by 0.51% while QQQ and SPY were flat on the day, finishing -0.01% to close out Christmas week. Next week we've got another short holiday week with markets closed on Thursday for New Year's (no half day on New Year's Eve). Next week might be a little busier even with the holiday due to it being the last trading week for 2025.
Yesterday IWM put in a failed daily breakdown which was bullish, but it failed to show any follow through today to close out the week. The new daily uptrend support from the failed breakdown around $251.80 that I mentioned in the previous update didn't hold, and it ended up closing below it too. Now we have a new confirmed daily downtrend starting from the gap up on 12/22. Daily resistance for Monday will be right around $252 - a gap up above it would be bullish if it can also close above it. If it gaps/breaks above $252, then the next resistance would be at about $252.50 to retest the daily uptrend which it closed below today.
For QQQ and SPY, nothing really changed since yesterday's update as both essentially finished unchanged today. Both remain in their current daily uptrends and neither are really in play at current levels. Especially SPY which is in the middle of a pretty wide daily range.
