What the performance of Large-cap growth stocks might mean going forward (Corrected)

IMPORTANT CORRECTION: The original version of this article was posted quoting the wrong timeframe. The original text said that a signal occurred when:

• Ticker IWF registers a 12-month (technically, a 252-trading-day) gain of 20% or more
• After first registering a 12-month decline

The correct timeframe is actually 6 months and not 12. So the text below has been changed to:

• Ticker IWF registers a 6-month (technically, a 126-trading day) gain of 20% or more
• After first registering a 6-month decline

The 12-month holding period following a signal remains the same.

My apologies for the mistake. Jay

Key points:

• While breadth, price action, and interest rates are currently suggesting potential trouble, one price momentum measure just flashed a favorable signal
• Historically, a powerful thrust in price action often leads to follow-through, as the thrust acts like a rocket being launched
• The recent action of the Russell 1000 Growth Index (tracked by ticker IWF) is detailed below, as well as the historical implications

Large-cap growth just experienced a price thrust

The trend and outlook for the stock market are never 100% clear. Recently, the stock market has experienced some "churning" under the surface, and a variety of near-term warning signs have emerged. Me