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A Wall Street strategist who called the last stock plunge says investors are foolishly ignoring one thriving corner of the market

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Ed Clissold of Ned Davis Research, who called the December stock sell-off, says there's an overlooked middle class thriving in the stock market.

at a time when most on Wall Street were still bullish.

He continued:"Mid caps don't get caught up in the yin and yang between small and large, because they live in both worlds. It's a great place for diversifying." Clissold ran the same test for large caps and found the group to be in a downtrend, and below both moving averages. Meanwhile, while small caps have rebounded slightly of late, the group is still at a multiyear low when compared to the Russell 3000.

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