Small Caps Are Catching Up. Now What?

July 08, 2025

We’re seeing one of the most important shifts of 2025 — broadening market participation.

For most of the year, large-cap tech did all the heavy lifting. Now? Small caps, financials, and industrials are catching a bid.

But here’s what smart money understands:

This isn’t about ditching tech — it’s about layering exposure as the market evolves.

What we’re tracking this week:

  • ⚖️ Valuation resets in top-tier names — opportunity, not overreaction.

  • 📈 Institutional rebalancing — mega caps trimmed, not abandoned.

  • 💡 Multiple leadership lanes — growth + cyclicals can win together.

This isn’t a rotation away — it’s a rotation outward.

In today’s premium watchlist:

  • 3 names at attractive long-term entry zones

  • Clear accumulation and target levels

  • Institutional activity and upcoming catalysts that matter

Best regards,
—StocksTrades.AI Newsletter

Disclaimer: This newsletter is for informational purposes only and does not constitute financial advice. Always conduct your own research before making investment decisions.