Market Insider

The red flag traders are watching in week ahead

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Retailers have their earnings say

Traders are awaiting retail sales, inflation data and big retailer earnings, but it's the stock market's own behavior that could be most key in the week ahead.

The divergence between the big caps and small caps and momentum names became more pronounced in the past week and is viewed as a red flag for stocks. The Dow finished the week at a record high and the small cap Russell continued its move toward correction territory.

The Dow ended the past week up 0.4 percent at 16,583, its second record close this year, while the was basically flat, down 0.1 percent at 1,878.