How To Create A New Index In Elasticsearch

Boosts in a few big-cap names can offset mediocre action in hundreds of smaller names. So what's happening now with the small-time investors?

By JAMES "REV SHARK" DEPORRE

Apr 05, 2021 | 04:30 PM EDT

Stocks quotes in this article: AAPL, GOOG

It was a solid day of gains for the indexes, but it lacked speculative energy. With the Nasdaq 100 up 2% and the S&P 500 hitting a new all-time high, it is hard to complain about the action, but the wild momentum that was in play earlier this year has not yet returned.

Breadth was good at around three gainers for every two decliners, and there were nearly 1,000 stocks hitting new 12-month highs but there few "hot" pockets of crazy momentum. What was driving the action Monday was primarily the FATMAAN stocks. Apple (AAPL) gained 2.5%, and Alphabet (GOOG) jumped a healthy 4%. Movement like that in a few big-cap names offsets mediocre action in hundreds of smaller names.

The question we have to ponder is whether this shift back to big-cap, institutional favorites is a sign that the small retail investor has left the market. There is a definite slowing in the trading driven by social media, but is that because it has been a tough slog for the last six weeks or because liquidity has dried up?

I don't know the answer to that question. We just have to watch to see how the speculative small caps behave as we head into earnings season.

The good news is that the market uptrend is back on track. The bad news is that small speculative traders are lagging.

Have a good evening. I'll see you tomorrow.

(AAPL and GOOGL are holdings in Jim Cramer's Action Alerts PLUS member club . Want to be alerted before Jim Cramer buys or sells these stocks? Learn more now. )

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

More from Stocks

Take an Honest Look at the Market

Plenty of 'good' stocks are getting sold because of this rotational action we're seeing -- yet many don't see the correction playing out.

Just How 'Elastic' Are the Markets?

Will be snap back for a Turnaround Tuesday? Let's check this chart and feel the pain small- and mid-cap and momentum investors are feeling.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

Email sent

Thank you, your email to has been sent successfully.

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login