RSP down ~7% vs S&P 2%; potential buy near $205 on further weakness; expects RSP to outperform as small caps bounce and mega-caps stall.

So, this is your RSP, which is your equal weight S&P 500 ETF. Now, look at this amazing level. I discovered it was it was absolutely incredible. When I find these things, it's like finding a diamond in the rough type situation.

You have this former pivot right here. Look at the high, high, high, and high. This was actually a little inverse head and shoulders. It broke out. It formed a little gap right here.

There's a gap that hasn't been filled right at this 205 20470 level. In addition, look at this. If we do my Fibonacci retrace from this low to this high, the 50% retrace aligns perfectly with that level.

So, one of the things I look for in the charts is when multiple factors align. In this case, we have a former resistant pivot, multiple hits before it broke out, which is a retrace.

This would be a retrace to the scene of the crime. At that same level, we have a gap fill and we have a Fibonacci 50% retrace all at the same level.

And you can see this is the equal weight. So, it's gotten hammered because remember that's equal waiting, meaning one small S&P company is equal to Nvidia. This is what it shows us is that we're now down basically 7% off the all-time highs while the regular S&P is just down 2%.

What I'm looking at is if we get a little bit more weakness basically to 205, this would be the level to pick up the equal weight. Or you could take it from another perspective and say, "Hey, I'm going to buy the beaten down S&P names.

They should bounce back and maybe the mega caps actually stall out." Meaning the S&P could actually stall a little bit. I don't think it goes down much unless we break that neutral line, but the equal weight should outperform overall.

Just a level to watch, folks. Very, very interesting.