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Small-Cap Stocks Have Gotten Crushed. Their Rebound Could Be Swift.
The Russell 2000 has fallen 26% in 2022, on pace for its worst first-half performance on record. The worst before now was in 2020, when the Russell fell 13%, and then 1982, when it dropped 11%, and 1984, when it fell 9.5%. This time, the Russell’s drop has been far more severe than the S&P 500’s and has created a “relative oversold” condition, says John Roque, head of technical strategy at 22V Research.
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