Interesting to see you're short the Russell when positioning in the futures suggests Specs are already very short there. So far, the small caps have done a good job being a pocket of strength when NQ is lagging, helping to stabilize markets. I see that sort of rotation as a sign of healthy market mechanics. A spot up/vol up ripper led by small caps is a different story, but occasional rotation into them plus general outperformance as positioning rebalances wouldn't necessarily be a sign of a pending collapse.
Interesting to see you're short the Russell when positioning in the futures suggests Specs are already very short there. So far, the small caps have done a good job being a pocket of strength when NQ is lagging, helping to stabilize markets. I see that sort of rotation as a sign of healthy market mechanics. A spot up/vol up ripper led by small caps is a different story, but occasional rotation into them plus general outperformance as positioning rebalances wouldn't necessarily be a sign of a pending collapse.